George M. Jones, Jr. And Eleanor M. Jones v. United States

McCREE, Circuit Judge.

This is an appeal from judgments in favor of the government in two suits, consolidated for trial before the District Court sitting without a jury, involving the income tax consequences of taxpayer’s donation of annuities to a charitable foundation.

In 1928, taxpayer Eleanor M. Jones 1 purchased two single-premium ten year endowment policies, one from State Mutual Life Assurance Company for $41,-520 and one from Massachusetts Mutual Life Insurance Company for $331,800. At maturity in 1938, the values of these policies were, respectively, $59,357.59 and $478,466.93. In…