Toeller's Estate v. Commissioner of Internal Revenue

SPARKS, Circuit Judge.

The question presented by this review of a Tax Court decision is whether a certain transfer in trust by decedent in 1930, was properly included in his gross estate for estate tax purposes. The Tax Court held it was for the reason that there was a reservation of the right to invade the corpus for the grantor’s benefit. Alternatively, the Commissioner contends that the trust corpus is includible in the estate for the reason that decedent retained a possibility of reverter by operation of law.

The facts were, for the most part, stipulated. The tru'st in question was created…