Court Opinion

ID: 9447423
Source: CourtListenerOpinion
Date Created: 2023-08-03 22:34:47.741279+00
Date Added: 2024-06-11T17:31:02.222666
License: Public Domain

CAMERON, Circuit Judge
(dissenting).
*43I respectfully dissent from the opinion of the majority affirming the judgment of the district court. The case of Ma-gruder v. Supplee, May, 1942, 316 U.S. 394, 62 S.Ct. 1162, 86 L.Ed. 1555, is, in my opinion, directly controlling in the case before us. This is inescapably true, unless it is the purpose of the tax officials that nobody shall receive the benefit of deduction of the large amount of taxes actually paid on this real property.
The Court of Appeals for the Sixth Circuit had before it a case identical with this one in the legal principles involved, Simon J. Murphy Co. v. Commissioner of Internal Revenue, 1956, 231 F.2d 639. The Commissioner raised every point in that case which appellee relies upon here and every point was decided in favor of the taxpayer. It is the only case cited by either party which applies to the facts before us. The majority declines to follow the Murphy case, but I find its reasoning unanswerable and I think we should follow it.1
The cases cited by the majority2 do not, in my opinion, apply to the facts before us nor tend to dilute the doctrines of Supplee and Murphy. There is no contention that the transaction here involved was not bona fide in every respect and that it did not serve a useful purpose. Upon principle and the authority of these two cases, I think the appellant is entitled to recover and that we should reverse the judgment of the district court and render one here in appellant’s favor.
Rehearing denied.
CAMERON, Circuit Judge, dissenting.

. That decision was rendered nearly two years before this action was begun and the Treasury Department failed to apply for certiorari, thus tacitly acquiescing in its holdings.

. Citizens Hotel Co. v. Commissioner, 5 Cir., 1942, 127 F.2d 229; Allen, Collector v. Atlanta Stove Worts, Inc., 5 Cir., 1943, 138 F.2d 452; Jud Plumbing & Heating, Inc. v. Commissioner, 5 Cir., 1946, 153 F.2d 681; and Dillard-Waltermire, Inc. v. Campbell, Jr., District Director, 5 Cir., 1958, 255 F.2d 433.