Fifth Circuit Rules for Taxpayer in Long-Awaited Caracci Decision

On July 11, 2006, the United States Court of Appeals for the Fifth Circuit issued its decision in the widelyfollowed Caracci case, wholly reversing the Tax Court’s prior decision and finding entirely in favor of the taxpayers. Sta-Home Health Agency, et al. v. Commissioner, Case No. 02-60912 (5th Circuit).

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