Ransom v. United States

Ransom v. United States was a U.S. Supreme Court case that addressed the issue of tax refund eligibility related to the income tax system. The case revolved around whether certain payments made by a taxpayer could be considered as taxable income or as adjustments to before-tax income. The Court ultimately ruled that the payments in question were not taxable, reinforcing principles about income recognition and tax liability. This case is significant for shaping how tax laws are interpreted, particularly regarding what constitutes taxable income versus non-taxable adjustments.