Brown v. Commissioner
United States Tax Court
Petitioner transferred $ 175,000 of securities in trust to pay the income in monthly installments to four persons for their lives and the remainder over to charity. Petitioner claimed four $ 3,000 exclusions on the gift tax return for the gifts to the income beneficiaries. Respondent disallowed the claimed exclusions on the ground that the interests were contingent upon the actions of the trustees and were, therefore, future interests. Held, for the petitioner.
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Petitioner transferred $ 175,000 of securities in trust to pay the income in monthly installments to four persons for their lives and the remainder over to charity. Petitioner claimed four $ 3,000 exclusions on the gift tax return for the gifts to the income beneficiaries. Respondent disallowed the claimed exclusions on the ground that the interests were contingent upon the actions of the trustees and were, therefore, future interests. Held, for the petitioner. The income beneficiaries received a substantial present interest which had a value in excess of the $ 3,000 exclusion as to each…
1Opinion of the Court
Frances Carroll Brown, Petitioner, v. Commissioner of Internal Revenue, Respondent
Brown v. Commissioner
Docket No. 66013
United States Tax Court
30 T.C. 831; 1958 U.S. Tax Ct. LEXIS 140;
June 30, 1958, Filed
Decision will be entered under Rule 50.
Petitioner transferred $ 175,000 of securities in trust to pay the income in monthly installments to four persons for their lives and the remainder over to charity. Petitioner claimed four $ 3,000 exclusions on the gift tax return for the gifts to the income beneficiaries. Respondent disallowed the claimed exclusions on the ground that the interests were…
2Cases cited10 opinions
- Helvering v. StuartSupreme Court of the United States · 1942
- United States v. PelzerSupreme Court of the United States · 1941
- Commissioner v. DisstonSupreme Court of the United States · 1945
- Sears v. ChildsMassachusetts Supreme Judicial Court · 1941
- Brown v. CommissionerUnited States Tax Court · 1958
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