Trounstine v. Commissioner
United States Tax Court
1. Where the managing member of a joint venture wrongfully withheld profits earned in 1933, which were recovered by the entitled decedent's estate in 1944 as the result of a court decree and the entitled decedent knew nothing of the wrongfully withheld profits in 1933 and his estate was without knowledge of them at, and for 3 years after, his death, held, the defrauded party's estate received gross income in 1944, the year of recovery. 2. Wrongfully withheld profits earned…
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1. Where the managing member of a joint venture wrongfully withheld profits earned in 1933, which were recovered by the entitled decedent's estate in 1944 as the result of a court decree and the entitled decedent knew nothing of the wrongfully withheld profits in 1933 and his estate was without knowledge of them at, and for 3 years after, his death, held, the defrauded party's estate received gross income in 1944, the year of recovery. 2. Wrongfully withheld profits earned in 1933 and recovered in 1944 by the entitled decedent's estate, held, distributable to the beneficiary under the…
1Opinion of the Court
OPINION.
Hill, Judge:
On December 6, 1944, the estate of Norman S. Gold-berger, plan tiff in a lawsuit against Bauer, Pogue & Co. Inc., et al., received a check for $108,453.59 in satisfaction of a judgment rendered against the defendant corporation. The respondent determined, as reflected in notices of deficiency and his amended answers, that the estate thereby received gross income in 1944 against which it was entitled to deduct certain costs of litigation and amounts currently distributable to the beneficiary under Goldberger’s will.
The petitioners contend that the excess of the proceeds of…
2Cases cited7 opinions
- North American Oil Consolidated v. BurnetSupreme Court of the United States · 1932
- United States v. Safety Car Heating & Lighting Co.Supreme Court of the United States · 1936
- Swastika Oil & Gas Co. v. Commissioner of Internal Rev.Court of Appeals for the Sixth Circuit · 1941
- Mathey v. Commissioner of Internal RevenueCourt of Appeals for the First Circuit · 1949
- Mathey v. Comm'rUnited States Tax Court · 1948
2 more not listed; retrieve them via the Exa API.
3Cited by1 opinion
- Trounstine v. CommissionerUnited States Tax Court · 1952