Estate of Wood v. Commissioner
United States Tax Court
Decedent provided for establishment of a testamentary trust out of the residue of her estate with assets approximating $ 300,000, to pay the income to a 69-year old brother-in-law for life and, upon the death of the brother-in-law, to distribute one-sixth of the corpus to each of two named charities.
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Decedent provided for establishment of a testamentary trust out of the residue of her estate with assets approximating $ 300,000, to pay the income to a 69-year old brother-in-law for life and, upon the death of the brother-in-law, to distribute one-sixth of the corpus to each of two named charities. By the terms of the trust instrument the trustee was authorized to pay to the brother-in-law so much of the principal as the trustee should "in its absolute discretion deem necessary or advisable in order to provide for * * * [his] support, maintenance, welfare and comfort". Held, the trust…
1Opinion of the Court
OPINION.
Paum, Judge:
The basic criteria to be taken into account in determining whether the bequest of the charitable remainder interests is deductible were set forth in Ithaca Trust Co. v. United States, 279 U.S. 151. There, the testamentary trust provided for charitable remainders after a life estate for the decedent’s wife with authority to withdraw from principal any sum “that may be necessary to suitably maintain her in as much comfort as she now enjoys.” The court held that the power to invade principal could be exercised only in accordance with a standard that was “fixed in fact and…
2Cases cited12 opinions
- Ithaca Trust Co. v. United StatesSupreme Court of the United States · 1929
- Henslee v. Union Planters National Bank & Trust Co.Supreme Court of the United States · 1949
- Merchants Nat. Bank of Boston v. CommissionerSupreme Court of the United States · 1943
- Blodget v. Delaney, CollectorCourt of Appeals for the First Circuit · 1953
- Hartford-Connecticut Trust Co. v. EatonCourt of Appeals for the Second Circuit · 1929
7 more not listed; retrieve them via the Exa API.
3Cited by8 opinions
- Borchers v. CommissionerUnited States Tax Court · 1990
- Borchers v. CommissionerUnited States Tax Court · 1990
- Estate of Dumesnil v. CommissionerUnited States Tax Court · 1982
- Estate of Gokey v. CommissionerUnited States Tax Court · 1979
- Estate of William Zentmayer, Deceased, the First Pennsylvania Banking and Trust Company v. Commissioner of Internal RevenueCourt of Appeals for the First Circuit · 1964
3 more not listed; retrieve them via the Exa API.