There are at least two tax issues in the acclaimed new movie, Good Night, and Good Luck:
1. From Gail Levin Richmond (Nova): There is a scene in which Edward R. Murrow or Fred Friendly offers to cover potential sponsor losses ($3,000 a week?). Are payments an ordinary and necessary business expense? What are the tax consequences if they instead took a pay reduction?
2. Murrow and Friendly joke about one of them getting audited in response to their news coverage of Senator Joseph McCarthy’s inquisition of suspected communists.
