Sample Thesis Paper
In 1999, the Department of Labor Administrative Review Board found the Administrative Labor Judges findings to be sound and Murphy filed an Income tax return for 70 thousand dollars. She at first paid twenty thousand six hundred on the award, thereafter ask for a return since it was part of the gross damages she was awarded. To this the I.R.S refused her request, Murphy then sued the I.R.S and the United States in a district court. At first the government tried to dismiss the claims looking for summary judgment. The dismissal was denied, though the courts later rejected Murphy’s claims to the award and found for the government.
They court on August 2006 found that the damages did not fall within the scope of income tax returns since the damages were not in fact given as compensation for personal physical injuries and thus could be excluded from the gross income. When analyzing whether the sixteenth amendment was applicable in this case the court found that the restoration of capital is not contingent upon income and personal injuries recoveries have been non taxable traditionally (Whistleblowers.org, 2009).
On further deliberation of the original ruling the court came to a decision on July 2007 that found that the compensation received was not due to personal injury or sickness on the part of the plaintiff. The income tax which was imposed upon the plaintiff was fair and just and Ms. Murphy is not entitled to a tax return on her income tax. Murphy’s lawyers later appealed the decision and filed a request with the U.S Supreme Court asking them to review the decision handed down. The Supreme Court denied the review of the decision on April 21st, 2008 (Colapinto, 2007).