Martin's Auto Trimming, Inc., a Corporation v. Robert A. Riddell, Director of Internal Revenue Service and United States of America

Action by Martin’s Auto Trimming, Inc., the appellant, against the appellees to recover $4,750 alleged to have been erroneously collected from appellant taxpayer under § 3403 of the Internal Revenue Code of 1939 ( 26 U.S.C.A. § 3403 , 1952 ed.), as federal excise taxes on custom-made automobile seat covers manufactured and sold by appellant to new and used car dealers from October 1, 1950 to and including August 31, 1952. The appellee, United States of America, filed a complaint in intervention demanding judgment against appellant for the additional sum of $7,118.36, with interest, being the amount alleged due and owing on the same assessment.

The lower court found the following facts: Between said dates appellant was engaged in operating an automobile upholstery shop. This operation consisted of manufacturing automobile seat covers which were sold by appellant to individual customers and to new and used car dealers. It did not stock any of the seat covers upon which the tax in issue was based. During the period in question the appellant was a “manufacturer” of said custom-made seat covers within the meaning of said section of the Internal Revenue Code. The seat covers…