Strauss

The petitioners Strauss and wife seek a review of a decision of the Board of Tax Appeals denying exemption from Federal income tax in respect of compensation paid to Strauss by the Golden Gate Bridge and Highway District.

The case involves income for the years 1933 and 1934. The sole question presented is whether the income was received by Strauss as an officer (engineer) of the district, or as an independent contractor. Strauss died during the pendency of the proceeding in this court and a special administratrix was substituted. For convenience, however, Strauss will be referred to as petitioner.

The district is a public corporation organized under an act of the legislature of the state of California (Stats. 1923, p. 452, Gen.Laws 1931, Act 936). It was formed in 1928 for the purpose of con *550 structing and operating a bridge over the Golden Gate between the city of San Francisco and Marin County. The enabling act provides for a board of directors to be appointed by the supervisors of the counties in which any portion of'the included territory is located. This 'governing board is authorized to appoint a general manager and subordinate officers, and to fix their salaries. The…