Research Memo Assignment: Taxation of Repayment of Previously Reported Income
You have interned in the tax department for some time. You were recently assigned to read the
Supreme Court case United States v Kirby Lumber Co 284 U.S. 1, 52 S.Ct. 4 (1931) and the
related Internal Revenue Code (IRC) § 108. Because of your knowledge of this case and law,
you were asked by the tax partner to research the tax implications of the following transaction for
your client, Harry Westwood.
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