Willits v. Commissioner
United States Tax Court
1. T was one of several trustees of a trust which terminated in 1960, and which in fact paid $ 920,000 in terminal corpus commissions to the trustees during that year.
Read the full summary
1. T was one of several trustees of a trust which terminated in 1960, and which in fact paid $ 920,000 in terminal corpus commissions to the trustees during that year. By prearrangement with the other trustees, T's share of those commissions was retained by one of the other trustees, a bank, and paid out to him in five annual installments beginning in 1961. Held, T is chargeable with receipt of his entire share of the commissions in 1960. 2. T was also a trustee of four other trusts. As a result of an intermediate accounting in respect thereof, the State court entered a decree in 1961…
1Opinion of the Court
OPINION
Raum, Judge:
The principal question for decision is whether petitioner is chargeable (a) in 1960 with Ms share of the terminal corpus commissions from the Strawbridge Trust allocated to him during that year and (fo) in 1961 with Ms share of the corpus commissions allocated to Mm during that year in respect of the four remaining Dor-rance Trusts. The Government’s position is .that he “constructively received” such commissions in those years.
The theory of constructive receipt is one of long standing, .and regulations embodying that concept have had judicial approval as far back as Loose…
2Cases cited20 opinions
- Commissioner v. Estate of BoschSupreme Court of the United States · 1967
- Commissioner v. CulbertsonSupreme Court of the United States · 1949
- Harrison v. SchaffnerSupreme Court of the United States · 1941
- H. O. Williams and Mrs. Ada L. Williams v. United StatesCourt of Appeals for the Fifth Circuit · 1955
- Woodbury v. CommissionerUnited States Tax Court · 1967
15 more not listed; retrieve them via the Exa API.
3Cited by6 opinions
- Gaines v. CommissionerUnited States Tax Court · 1982
- Heitz v. CommissionerUnited States Tax Court · 1998
- Hart v. CommissionerUnited States Tax Court · 1983
- Kelley v. CommissionerUnited States Tax Court · 1991
- Willits v. CommissionerUnited States Tax Court · 1968
1 more not listed; retrieve them via the Exa API.