Olk v. United States
United States Court of Appeals for the Ninth Circuit
536 F.2d 876 (1976)
Relevant factsFree
Craps dealer Olk (plaintiff) regularly received cash "tokes" from players, which casino rules required dealers to pool and split evenly, and Olk sued for a refund of income tax paid on this money, arguing it was a personal, disinterested gift rather than compensation; the district court agreed, finding the tokes reflected impulsive generosity or superstition rather than payment for service, and the government appealed.
IssueFree
Whether a federal taxpayer receives taxable income when a donor voluntarily gives the taxpayer money in return for the taxpayer's personal service to the donor.