this case involved a twelve-day expense-paid trip to germany for mr. and mrs. gotcher to tour volkswagen facilities in germany. the trip cost $1,372.30. mr. gotcher’s employer, economy motors, paid $348.73 while the remainder, $1023.53, was paid by volkswagen of germany and volkswagen of america. mr. and mrs. gotcher failed to include any part of the $1,372.30 in gross income for income tax purposes for 1960. the commissioner of internal revenue assessed a tax deficiency after determining the taxpayers (the gotchers) had realized income of $1,372.30 from the trip. the gotchers paid the deficiency and filed suit for a refund. the district court held that the cost of the trip was not income, or in the alternative, that the cost of the trip was income and deductible as an ordinary and necessary business expense.