Searching over 5,500,000 cases.


searching
Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.

Walker-Hill Co. v. United States.

May 17, 1947

WALKER-HILL CO.
v.
UNITED STATES.



Author: Evans

Before EVANS and KERNER, Circuit Judges, and BRIGGLE, District Judge.

EVANS, Circuit Judge.

The trial court upheld plaintiff's right to recover $7,495.80 from the Government, on distilled spirits used in 1943, as "drawbacks," because the eggnog product it manufactured was a "food product" and not a "beverage," under Section 3250, Internal Revenue Code, as amended by Section 602(f) of the Revenue Act of 1942. This Section provides:

"Any person using distilled spirits produced in a domestic registered distillery or in industrial alcohol plant and fully tax-paid in the manufacture or production of medicines, medicinal preparations, food products, flavors, or flavoring extracts which are unfit for beverage purposes and are sold * * * for use for other than beverage purposes, upon payment of a special tax per annum, shall be eligible for drawback * * *." 26 U.S.C.A. Int. Rev. Code, ยง 3250.

It is apparent that the above statute imposes upon a claimant the burden of establishing (a) that the product is "unfit for beverage purposes," and (b) it was "sold * * * for use other than for beverage purposes."

Treasury Regulations 15, Sec. 190.5 provides:

"The following products are considered as meeting the requirements for exemption from special commodity taxes: * * *

"(d) Flavoring extracts * * *

"(f) Salted wines * * *

"(g) Sauces * * *

"(h) Brandied Fruits * * *

"(i) Food products. - Food products such as mincemeat, plum pudding, and fruit cake where only sufficient liquor is used for flavoring and preserving; and ice cream and ices where only sufficient liquor is used for flavoring purposes."

Plaintiff's eggnog product was made of this formula: in each 200 gallons there were 750 pounds of egg material; 20 gallons of milk; 496 pounds of sugar and dextrose; 65 gallons ...


Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.