Memorandum Findings of Fact and Opinion
HILI Judge:
Respondent determined a deficiency in petitioners' income tax liability for 1941 in the amount of $6,260.32. Respondent also determined a deficiency for the year 1939 but on motion by respondent the proceeding was dismissed in so far as it related to the year 1939 for lack of prosecution by petitioners. The questions are, (1) whether certain transactions incident to a settlement of an action instituted...
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