McCutchin v. Commissioner
United States Tax Court
1. Income from long term irrevocable trusts of which the trustee is the alter ego of the grantor, and over which the trustee had broad powers of management and a limited discretion as to distribution or accumulation of the income until the beneficiaries reached the age of 25 years, held, not taxable to grantor under section 22 (a) and the principles of Helvering v. Clifford, 309 U.S. 331; David Small, 3 T. C. 1142. 2. Income from long term irrevocable trusts of which grantor…
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1. Income from long term irrevocable trusts of which the trustee is the alter ego of the grantor, and over which the trustee had broad powers of management and a limited discretion as to distribution or accumulation of the income until the beneficiaries reached the age of 25 years, held, not taxable to grantor under section 22 (a) and the principles of Helvering v. Clifford, 309 U.S. 331; David Small, 3 T. C. 1142. 2. Income from long term irrevocable trusts of which grantor was likewise, for practical purposes, trustee, and over which the trustee had broad powers of management and in his…
1Opinion of the Court
OPINION.
Aeundell, Judge'.
The first issue deals with the taxability of petitioners on the income of the four trusts here involved under section 22 (a) of the Internal Revenue Code and under the principle of Helvering v. Clifford, 309 U. S. 331. The respondent contends that the McCutchin Investment Co. is but an alter ego of petitioner Alex McCutchin; that he must be regarded as the real trustee; and that as such he has retained controls over the several trusts sufficient to leave him in substance the owner of the properties.
It is apparent, we think, that the McCutchin Investment Co. is not an…
2Cases cited6 opinions
- Helvering v. CliffordSupreme Court of the United States · 1940
- Helvering v. StuartSupreme Court of the United States · 1942
- MacDonald v. FollettTexas Supreme Court · 1944
- Lowenstein v. CommissionerUnited States Tax Court · 1944
- F. H. E. Oil Co. v. CommissionerUnited States Tax Court · 1944
1 more not listed; retrieve them via the Exa API.
3Cited by5 opinions
- Hall v. CommissionerCourt of Appeals for the Tenth Circuit · 1945
- Backus v. CommissionerUnited States Tax Court · 1946
- Morss v. StatesDistrict Court, D. Massachusetts · 1946
- Backus v. CommissionerUnited States Tax Court · 1946
- McCutchin v. CommissionerUnited States Tax Court · 1945