Kress v. Stanton

The question presented by the appeals at bar is whether Kress’s executors, by transferring certain stock to LeClere, pursuant to provisions of Kress’s will, for amounts less than the value of the stock at the time of the transfers, suffered losses deductible under Section 23(e) (2) of the Internal Revenue Code, 26 U.S.C. 1946 ed., § 23(e) (2), and the regulations applicable thereto. The Collectors maintain that the transfers were bequests and not transactions entered into for profit and that it is not shown that the estate of Kress suffered losses on the transfers. The court below decided the…