Estate of Orsatti v. Commissioner

OPINION.

Arundell, Judge’.

The principal issue between the parties is whether, under the facts in the instant case, payments made by decedent to his wife pursuant to the property settlement agreement incident to their divorce were “periodic” or “installment” payments within the meaning of section 22 (k) of the Internal Revenue Code.1 The de-ductibility of these payments by decedent under section 23 (u) 2 rests upon the determination of this issue.

Petitioners point to the fact that under the agreement herein the total amount which decedent was obligated to pay was contingent upon the death or…