Rev. Rul. 60-184

Subsequent to the decision of the Supreme Court of the United States in the case of Gordon P. Haynes et ux. v. United States , 353 U.S. 81, Ct. D. 1805, C.B. 1957-1, 499, which holds that an employee may exclude from his gross income, as `health insurance,' sickness disability benefits received during 1949 under his employer's plan even though the plan did not contain features present in normal commercial insurance, the Internal Revenue Service adopted the position that the Haynes decision is broad enough to control the characterization as health insurance of payments made in years governed by the Internal Revenue Code of 1939 under all company `plans' similar to those considered in that case. See Revenue Procedure 57-23, C.B. 1957-1, 753.

Consistent with that position, action with respect to prior published rulings is being taken as follows:

The following rulings are hereby revoked: I.T. 3428, C.B. 1940-2, 60; I.T. 3760, C.B. 1945, 54; I.T. 4061, C.B. 1951-2, 13; I.T. 4107, C.B. 1952-2, 73; Revenue Ruling 269, C.B. 1953-2, 16; Revenue Ruling 103, C.B. 1953-1, 20; Revenue Ruling 209, C.B. 1953-2, 104; and Revenue Ruling 54-1, C.B. 1954-1, 29.

G.C.M. 23511, C.B. 1943, 86, is modified to the extent that it holds that disability payments under a company plan are not excludable from gross income.

The following rulings are fully reinstated: I.T. 4000, C.B. 1950-1, 21; I.T. 4015, C.B. 1950-1, 23; and I.T. 4060, C.B. 1951-2, 11.

Under the Internal Revenue Code of 1954, the excludability of payments comparable to those excludable under section 22(b)(5) of the Internal Revenue Code of 1939 is determinable under sections 104 and 105.