Hesse v. Commissioner
United States Tax Court
W commenced an action seeking a limited divorce and claiming support. H wanted an absolute divorce but lacked the grounds to secure one. H agreed to pay $ 500,000 in installments to W. and she thereupon secured an absolute divorce. Held, the payments to W were periodic payments in lieu of alimony or support under sec. 71(a), I.R.C. 1954. Held, further, legal expenses incurred by W in obtaining such payments are deductible under sec. 212(1), I.R.C. 1954.
1Opinion of the Court
Simpson, Judge:
The respondent determined the following deficiencies in the petitioners’ Federal income taxes:
Marion B. Hesse Year Deficiency 1967 _$21,338. 27 1968 _ 17,972.42 1969 _ 21, 055.36 Stanley H. Hesse Year Deficiency 1967 _$26, 752. 54 1968 _ 21,092. 04
Because of concessions, the primary issue remaining for decision is whether payments made by Stanley H. Hesse to his former wife, Marion R. Hesse, pursuant to a written agreement incident to a divorce, were periodic payments made in discharge of a legal obligation incurred by Mr. Hesse because of the marital or family relationship. If…
2Cases cited22 opinions
- Elizabeth H. Bardwell v. Commissioner of Internal RevenueCourt of Appeals for the Tenth Circuit · 1963
- Bardwell v. CommissionerUnited States Tax Court · 1962
- Thompson v. CommissionerUnited States Tax Court · 1968
- Elliott v. CommissionerUnited States Tax Court · 1963
- Hogg v. CommissionerUnited States Tax Court · 1949
17 more not listed; retrieve them via the Exa API.
3Cited by62 opinions
- Wright v. CommissionerUnited States Tax Court · 1974
- Beard v. CommissionerUnited States Tax Court · 1981
- Schottenstein v. CommissionerUnited States Tax Court · 1980
- Benedict v. CommissionerUnited States Tax Court · 1984
- Mass v. CommissionerUnited States Tax Court · 1983
57 more not listed; retrieve them via the Exa API.