Schmidlapp v. Commissioner
United States Board of Tax Appeals
1. GIFT TAX - RULE AGAINST PERPETUITIES INVALIDATING TRANSFER. - Held, that a deed executed in 1926 which contained provisions in violation of the New York rule against perpetuities was nevertheless valid in part so that a completed gift was made in 1926, and, consequently, the estate in the property which was given in 1926 could not be the subject of another gift in 1935, the taxable year, when the grantor executed a supplemental deed for the purpose of eliminating the…
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1. GIFT TAX - RULE AGAINST PERPETUITIES INVALIDATING TRANSFER. - Held, that a deed executed in 1926 which contained provisions in violation of the New York rule against perpetuities was nevertheless valid in part so that a completed gift was made in 1926, and, consequently, the estate in the property which was given in 1926 could not be the subject of another gift in 1935, the taxable year, when the grantor executed a supplemental deed for the purpose of eliminating the invalid portions of the 1926 deed; held, further, that there was no greater completed gift in 1935 than had been made in…
1Opinion of the Court
*835OPINION.
Murdock:
This case presents a controversy revolving around the New York statutory rule against perpetuities. The Commissioner contends that the original instrument dated July 16, 1926, violated that rule and, therefore, was entirely invalid. Thus, he reasons that no valid gift was made in 1926 and the entire value of the property in 1935 is taxable as a gift made in that later year. The petitioner *836concedes that those provisions of the 1926 deed which were to the •effect that the trust property should be held in trust during the lives of persons not in being at the time the' instrument…
2Cases cited19 opinions
- Helvering v. HallockSupreme Court of the United States · 1940
- Estate of Sanford v. CommissionerSupreme Court of the United States · 1939
- Klein v. United StatesSupreme Court of the United States · 1931
- In Re Proving the Will of MountNew York Court of Appeals · 1906
- Carrier v. . CarrierNew York Court of Appeals · 1919
14 more not listed; retrieve them via the Exa API.
3Cited by9 opinions
- Lockard v. Commissioner of Internal RevenueCourt of Appeals for the First Circuit · 1948
- Helvering v. RobinetteCourt of Appeals for the Third Circuit · 1942
- Ingalls v. CommissionerUnited States Tax Court · 1963
- Black v. CommissionerUnited States Tax Court · 1965
- Estate of Bettin v. CommissionerUnited States Tax Court · 1974
4 more not listed; retrieve them via the Exa API.