Stix v. Commissioner
United States Tax Court
Income of property transferred by petitioners' mother to two trusts, of one of which each of petitioners was designated as "primary beneficiary" and of which the two petitioners were trustees with broad discretionary powers, including authority to distribute income to their children and to invade corpus for their benefit or that of their children, held, taxable to petitioners under section 22(a), notwithstanding that the income was actually paid to the children in the tax…
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Income of property transferred by petitioners' mother to two trusts, of one of which each of petitioners was designated as "primary beneficiary" and of which the two petitioners were trustees with broad discretionary powers, including authority to distribute income to their children and to invade corpus for their benefit or that of their children, held, taxable to petitioners under section 22(a), notwithstanding that the income was actually paid to the children in the tax years. Edward J. Mallinckrodt, Jr., 2 T. C. 1128; affd. (C. C. A., 8th Cir.), 146 Fed. (2d) 1, followed.
1Opinion of the Court
OPINION.
OppeR, Judge:
The disposition of this proceeding seems to us to be governed by Edward Mallinckrodt, Jr., 2 T. C. 1128. There, equally, the petitioner was the beneficiary of a trust created for him by another, but he could obtain the trust income by directing the remaining trustees to that effect. His failure to make that direction with the consequent absence of any payment to him was relied upon as requiring the application of section 162, taxing trust income to the trust if undistributed. There were other aspects of control in the petitioner similar to those here, but our decision may…
2Cases cited6 opinions
- Corliss v. BowersSupreme Court of the United States · 1930
- Harrison v. SchaffnerSupreme Court of the United States · 1941
- Greene v. . GreeneNew York Court of Appeals · 1891
- Mallinckrodt v. CommissionerUnited States Tax Court · 1943
- In re the Construction of the Last Will & Testament of JohnsonNew York Surrogate's Court · 1924
1 more not listed; retrieve them via the Exa API.
3Cited by28 opinions
- King v. CommissionerUnited States Tax Court · 1962
- Flato v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1952
- Oppenheimer v. CommissionerUnited States Tax Court · 1951
- Cowles v. CommissionerUnited States Tax Court · 1946
- Flato v. CommissionerUnited States Tax Court · 1950
23 more not listed; retrieve them via the Exa API.