Galewitz v. Commissioner
United States Tax Court
Petitioner and his sister paid for and held 9 out of 10 shares of stock of a family-owned corporation. The shares were income-producing property. Their father, Jacob, owned 1 share, which passed to his estate upon his death in 1950. Jacob was survived by Hannah, the stepmother of petitioner, to whom he bequeathed in his will the income, for life, of one-third of his estate.
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Petitioner and his sister paid for and held 9 out of 10 shares of stock of a family-owned corporation. The shares were income-producing property. Their father, Jacob, owned 1 share, which passed to his estate upon his death in 1950. Jacob was survived by Hannah, the stepmother of petitioner, to whom he bequeathed in his will the income, for life, of one-third of his estate. In 1951, Hannah sued petitioner, his sister, and others seeking to have set aside the issuance of the 9 shares to petitioner and his sister, and to have those shares made part of Jacob's estate. If that result had been…
1Opinion of the Court
OPINION
HaeRon, Judge,:
The Commissioner determined a deficiency in income tax for 1961 in the amount of $7,466.70. Pie disallowed a deduction of legal fees in the amount of $11,568.95.
Tlie question is whether expenditures for legal fees paid in 1961 by Samuel Galewitz, hereinafter called the petitioner, or Samuel, in the amount of $11,568.95, for 'legal services in the defense of litigation instituted against the petitioner and others constitute ordinary and necessary expenses “for the management, conservation, or maintenance of property held for the production of income,” within the…
2Cases cited13 opinions
- Trust Under the Will of Bingham v. CommissionerSupreme Court of the United States · 1945
- Hochschild v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1947
- JONES'ESTATE v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1942
- Rassenfoss v. Commissioner of Internal RevenueCourt of Appeals for the Seventh Circuit · 1946
- E. W. Brown, Jr. And Gladys Slade Brown v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1954
8 more not listed; retrieve them via the Exa API.
3Cited by5 opinions
- Reed v. CommissionerUnited States Tax Court · 1970
- Duntley v. CommissionerUnited States Tax Court · 1987
- Galewitz v. CommissionerUnited States Tax Court · 1968
- Goldberg v. CommissionerUnited States Tax Court · 1970
- Reed v. CommissionerUnited States Tax Court · 1970