TAXATION-VALIDITY OF TAX ON INCOME OF SUPERINTENDENT OF SCHOOL CAFETERIA SYSTEM -SOVEREIGN IMMUNITY

Authors

Elbridge D. Phelps, University of Michigan Law SchoolFollow

Abstract

Petitioners, husband and wife, residents of Texas, made returns of community income for the year 1932, listing as exempt the salary of the wife who was superintendent of a non-profit cafeteria system operated by the Ft. Worth public schools for the exclusive patronage and benefit of teachers and students. The Commissioner of Internal Revenue refused the exemption and levied a deficiency tax of $105. On appeal from an affirmance of the commissioner's decision by the Board of Tax Appeals, held, reversed on the ground that the operation of the cafeteria system was a proper exercise of a governmental function by the school district, and that the salary of the superintendent, as an employee of a political subdivision and engaged in the performance of a governmental function, was immune from federal income taxation. Hoskins v. Commissioner of Internal Revenue, (C. C. A. 5th, 1936) 84 F. (2d) 627.

Recommended Citation

Elbridge D. Phelps, TAXATION-VALIDITY OF TAX ON INCOME OF SUPERINTENDENT OF SCHOOL CAFETERIA SYSTEM -SOVEREIGN IMMUNITY, 35 Mich. L. Rev. 512 (1937).
Available at: https://repository.law.umich.edu/mlr/vol35/iss3/22