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SCHENUIT RUBBER COMPANY v. UNITED STATES

Civ. No. 17579.

293 F.Supp. 280 (1968)

The SCHENUIT RUBBER COMPANY v. UNITED STATES of America.

United States District Court D. Maryland.

October 23, 1968.

Attorney(s) appearing for the Case

Theodore R. Dankmeyer, Baltimore, Md., and Lionel C. Epstein and Richard J. Medalie, Washington, D. C. (Niles, Barton & Wilmer, Baltimore, Md., and Epstein and Friedman and Ginsburg & Feldman, Washington, D. C., on the brief), for plaintiff.

Moshe Schuldinger and Richard Seidman, Attys., Civil Tax Division, Dept. of Justice, Washington, D. C. (Mitchell Rogovin, Asst. Atty. Gen., and Donald R. Anderson, Atty., Civil Tax Division, Washington, D. C., and Stephen H. Sachs, U. S. Atty., Baltimore, Md., on the brief), for defendant.

THOMSEN, Chief Judge.

In this action, tried before the Court without a jury, plaintiff (taxpayer) seeks recovery of accumulated earnings taxes1 and interest thereon, assessed against and paid by it for its taxable years ended April 30, 1961 ($339,602.23) and April 30, 1962 ($300,526.39). The ultimate question to be decided is whether taxpayer was availed of during either or both of those years for the purpose of avoiding income tax with...

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