CTA Case No. 1037 (Decision)

106

., � 1037 ' 0 1 v .r C� I � he ' � 7- 2 ' c t ' I� 107

. G. IO - � 10 7 �T � 3 . ). t0 1 ci o~ t .c .... ,. n1 � ~. 1 - {) � 1'. 57 ( l � �1 11 l �J� t ti t 108

. Dc.EOlS�IO �. - o. ' 37 a b nd xe ut d by tb pet1t1on .1" 1n avor ot P. "'� fl "lllnery Co . , Ino., 1a ati 1 l.o . 1 n 3 (d) (2) o� 1 � atiQnul Internal l enue de, fo.r the pu.rrp s ot oput1 b n 1nc _ oJ: tlle p t1 tion r for he: sa , y a,.r � . o 1on 30{ ) (2) f t t1onal. 1nt .r n 1 R :v nu Co . provide t llo ��� ot tr equ1 it efor lo or :n b ""on 4;1er d nd llo\J' as a et on 0 ,!!'J t~ 0 1 eo put1ng th 1s ~h t ~aid lo or <lama 1. n ot for by 1nS,l1' nc o oth r :l 1 te and a.ppli d by th. upr Ct~2.rt or b in UJ" nc ott thettw . 11 ho 1 b eo st _to t1on du unde titl , r lo ous or i:mil to insurane � Inas uob as � th latter is con ract ~stabll h r � l _ al 109

" IeJxECIcSIOs � a. 1037 ; o li ~ tin , it f'oll"' t in o d � to ~ d � comp n � te � for � ., � th r .i e u, J e lo 1.1 tt~1n d '3' a tax4 yer must cov r~d. b u h di- c:i lly nfor able ri~'ht, ri g1ng fro ar.y th ur1d1 o 1 sourc ll ation , r ...ru C Un31 ng ~or1s 1 ln" . i!h o r of Tax. p , 1 , G. R. o. L- 6296, ~1ept. 29, 1956) � I h case at b .r , the 1 su ~.., t~ 1 C' by th co.mp t d for ( insur n or) 0 t4r no n f* ct "cJd no 6 due io nd in lB.' suffe d ir:r lo houl llowad. ~or partie 1 rly, t � l l ged d�dU tibl lo $ wa 00 by a judi ially e.n:tcrc ... abl r ht b d on ont c - an i ll ~ 1 t. . re - ent "n d by C .nsta o o Cu rvo to or o n r. A matt.r of f c , th pet1t1oneJ:? h already oured. f vor 1 � judg1nc t ,.a1n Const.anoio n os d o :1 1 n' xec ory. t 1.... tru-..: th t t l r i no r �o~ bl �ro� nd � to Xf' .l,.. reimbu:rsec nt from Co.t s t . l r Jos for �he omnw t. "a:!d to P. L. G lang 1 cl1n ry co., Inc . p, t1t o r r 1� .rid 1 f..ur ty + I n- r~nc. c . , Inc ___ me 1 L____Ve or at 1 �- t o r d it� los by vl 110

v� iJ "Cit 0:1 - c� ~ ASE N , 1037 6 -aft \.Jh Gn ' .� de b t 1 ' Cf" dur --sta ma � ..i r�i, h.t to zain t th h ar1n � d n ss H. 0 ' 1f g 1 f'r ~'! . n t.itton ::: Pl 1 el 'u ~t-Y I ur nc . i'' Co� t aa . , a idt t c b titio r t t it shc ul i:.,O r.: �r .tr. C rvo b c use h um�d l:;i joo\nt and -vo.ral \.l n ill "'"" d: e If i l l do t�~m. 1~� J t.s ..rt .. � 1' e fact t ~~ r! f~ t t!.one has f.'lil d tl!? to th pr ... s n to r ver y ;\l!l en i � only t red c 1 ... () c fro on F. c ervo du to bt'~sin s (}!' p -r- 0 .;. moti , ,-r, t or b -us � or 1 n �.r.. a of h is causo fo.t� the den_;iil or th right to ..h ,, io.n c r rt ns, .., of :� a ,r~l I'l a T~ ion, lfol Ch-:tptcr 28 , .. 1 ) . ' \.JHERE-FO ill !1ew of the or ... 1-n e~noi r- ~ ' a io pe ition � a1 r .! ~ !nsurano Co. 1 c �. h re.by ord d 'to th r s:pond nt or Co 1 ion r Int rn 1 V r nu th O'Utl 0 ,, 111

.,/, D CISI H ... c c �s D. 1 7 7 .oo 1 le oy 1 00 0 th� y r 1957 t t - t})i:r ( 0) ~ay f 0 h d t t.h c'isio n l. If th L nt'l p- 1Cl t h . bOV$t ~h r shall e coll 0 � e--d-:----- !" ~ e>f ' ~ ot th t:1n 1d, 1 1 t r t t h :r C~nth f r , of , a e ot p �e pr h t y he a tlaoted s 1r ter . t ll not onnt aorr �po di:o to rio of t' � (~) ~ .. r h f i ' , . h1 i pinr. , 112