Cross v. United States (311 F.2d 90, 1962)

ALBERT V. BRYAN, Circuit Judge.

The Federal 10% impost on transportation fares, the District Court has concluded, was not assessable on the amounts paid the Gray Line of Richmond, Virginia, for its bus tours in sightseeing and visiting the City’s historic and other points of interest. Therefore, the Government is ordered to refund the “penalty” exacted by the tax statute and paid under protest by Gray Line for its failure to collect from the passengers and remit to the Government the excise claimed for 1957 and 1958. The United States appeals and, we hold, successfully.

Ground for his determination was found by the District Judge in these assertions of Gray Line:

1. While tour tickets were $3.00 for an adult and $1.50 for a child, the taxpayer’s books fairly show that no more than 60