Case Name: PEREL & LOWENSTEIN, Inc., Petitioner, v. COMMISSIONER OF INTERNAL REVENUE, Respondent
Court: United States Court of Appeals for the Sixth Circuit
Jurisdiction: United States
Decision Date: 1956-10-23
Citations: 237 F.2d 908
Docket Number: Nos. 12752, 12753
Parties: PEREL & LOWENSTEIN, Inc., Petitioner, v. COMMISSIONER OF INTERNAL REVENUE, Respondent.
Judges: Before McALLISTER, MILLER and STEWART, Circuit Judges.
Reporter: Federal Reporter 2d Series
Volume: 237
Pages: 908–908

Head Matter:
PEREL & LOWENSTEIN, Inc., Petitioner, v. COMMISSIONER OF INTERNAL REVENUE, Respondent.
Nos. 12752, 12753.
United States Court of Appeals Sixth Circuit.
Oct. 23, 1956.
Eiehenbaum, Walther, Scott & Miller, Little Rock, Ark., for petitioner.
Charles K. Rice, John Potts Barnes, Lee A. Jackson, George F. Lynch, Vernon F. Weekley, and C. Moxley Feather-stone, Washington, D. C., for respondent.
Before McALLISTER, MILLER and STEWART, Circuit Judges.

Opinion:
PER CURIAM.
Although the petitioner corporation's president suffered a stroke resulting in paralysis and loss of the power of speech in 1949, the petitioner continued to pay him a $30,000 salary in each of the following two years, and a salary of $24,-000 the third year. Deductions made by the petitioner for these payments were disallowed in their entirety by the respondent Commissioner. The Tax Court found that, "A reasonable allowance for compensation for the personal services actually rendered by Perel, as well as for compensation for past services actually rendered, was not more than $10,000" for each of the years involved, and accordingly redetermined the asserted deficiencies. A careful review of the record leaves us unconvinced that this dis-positive finding of fact was clearly erroneous.
The decision of the Tax Court therefore must be and is affirmed.