Court Opinion

ID: 9451860
Source: CourtListenerOpinion
Date Created: 2023-08-04 17:25:31.891623+00
Date Added: 2024-06-11T17:32:56.084010
License: Public Domain

SCHNACKENBERG, Circuit Judge
(partly dissenting and partly concurring) :
I would hold that the record before us sustains petitioners’ contention that the decision of the Tax Court in regard to the disallowance of deductions to the Walker corporation is clearly erroneous in regard to the Diamond Lake Lodge and its use for business entertainment. The record clearly shows that the Walker corporation incurred expenses in the operation of the lodge during the taxable years by using the lodge for business entertainment of the representatives of buyers, according to a universally sanctioned business custom. Thus the expenses of the lodge were ordinary and necessary expenses of the business of the Walker corporation.
Otherwise I concur in Judge Kiley’s opinion.