Anthony v. Commissioner
United States Tax Court
The petitioner was sole income beneficiary of a testamentary trust. The will provided that the trustees should have discretion as to whether to charge expenses to principal, or to income. They were charged to the principal account on the books, after some small items had been charged to income, but reversed and charged to principal.
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The petitioner was sole income beneficiary of a testamentary trust. The will provided that the trustees should have discretion as to whether to charge expenses to principal, or to income. They were charged to the principal account on the books, after some small items had been charged to income, but reversed and charged to principal. The remaindermen, petitioner's sons, authorized payment to petitioner without deduction for the expenses, and petitioner received the entire trust income. The will provided against assignment of the trust property, or income, before payment to the beneficiary.…
1Opinion of the Court
OPINION.
Disney, Judge:
The petitioner, life beneficiary of the trust income, reported the total taxable trust income, but deducted expenses ($3,455.44 for 1942, $727.49 for 1943), stating in each report, that the “Trustee has indicated that it would report income before deducting expenses. Taxpayer believes that such expenses are deductible under Section 23 (a) (2) of the Internal Revenue Code. Accordingly, income from fiduciary is computed as follows — followed by statement of total taxable income and deduction of expenses in the above amounts. The Commissioner restored the $3,455.44 and…
2Cases cited4 opinions
- Merchants' Loan & Trust Co. v. SmietankaSupreme Court of the United States · 1921
- Dumaine v. DumaineMassachusetts Supreme Judicial Court · 1938
- McVeigh v. CommissionerUnited States Tax Court · 1944
- Wade v. CommissionerUnited States Tax Court · 1945
3Cited by8 opinions
- United States v. MerrillCourt of Appeals for the Ninth Circuit · 1954
- Erdman v. CommissionerCourt of Appeals for the Seventh Circuit · 1963
- Erdman v. CommissionerUnited States Tax Court · 1962
- United States v. MerrillCourt of Appeals for the Ninth Circuit · 1954
- Anthony v. CommissionerUnited States Tax Court · 1947
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