ɪn nˈaɪntiːnhˈʌndɹɪd twˈɛnti fˈaɪv, ðə bjˈʊɹɹoʊ ʌv ɪntˈɜːnəl ɹˈɛvənˌuː ɐsˈɛst ɐ dᵻfˈɪʃənsi fɚðɪ ɐmˈaʊnt ʌv tˈæksᵻz pˈeɪd ˌɔn bᵻhˈæf ʌvðə kˈʌmpəniz pɹˈɛzɪdənt, wˈɪljəm mˈædɪsən wˈʊd, ˈɑːɹɡjuːɪŋ ðæt hɪz dˈɑːlɚ sˈɪkshˈʌndɹɪd ˈeɪɾi wˈʌn,wˈʌnhˈʌndɹɪd sˈɪksti nˈaɪn.ˈeɪɾi ˈeɪt tˈæks pˈeɪmənt hæd ɹˈɔŋli bˌɪn ɛksklˈuːdᵻd fɹʌm hɪz ɡɹˈoʊs ˈɪŋkʌm ɪn nˈaɪntiːnhˈʌndɹɪd nˈaɪntiːn, ænd ðæt hɪz dˈɑːlɚ θɹˈiːhˈʌndɹɪd fˈɪfti wˈʌn,wˈʌnhˈʌndɹɪd sˈɛvənti nˈaɪn.twˈɛnti sˈɛvən tˈæks pˈeɪmənt hæd ɹˈɔŋli bˌɪn ɛksklˈuːdᵻd fɹʌm hɪz ɡɹˈoʊs ˈɪŋkʌm ɪn nˈaɪntiːnhˈʌndɹɪd twˈɛnti.
In 1925, the Bureau of Internal Revenue assessed a deficiency for the amount of taxes paid on behalf of the company's president, William Madison Wood, arguing that his $681,169.88 tax payment had wrongly been excluded from his gross income in 1919, and that his $351,179.27 tax payment had wrongly been excluded from his gross income in 1920.