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NOTES 919 Tax Lawyer, Vol. 53, No. 4 NOTE DETERMINING THE DEDUCTIBILITY OF EXECUTIVE COMPENSATION: EXACTO SPRING CORP. V. COMMISSIONER In Exacto Spring Corp. v. Commissioner,1 the Seventh Circuit held that the salary a closely held corporate taxpayer paid to its Chief Executive Officer (CEO) was reasonable within the meaning of section 162(a)(1) and therefore deductible as an ordinary and necessary business expense.2 In reversing the decision of the Tax Court,3 the Seventh Circuit employed an...