John Hessin Clarke

“ The company retained its accounts receivable and prior to September 30, 1917, it distributed among its stockholders, proportionately to their ownership of stocks, the cash received from the sale and the accounts receivable in kind. ”

“ This case comes into this Court on a writ of error to review a judgment of the District Court of the United States for the Northern District of Illinois, sustaining a demurrer to a declaration in assumpsit to recover an assessment of income and excess profits taxes for the year 1917, under warrant of the Income Tax Act of Congress, approved September 8, 1916 (39 Stat. c. 463, p. 756) as amended by the act approved October 3, 1917 (40 Stat. c. 63, p. 300) . ”