Bonney v. Commissioner
United States Board of Tax Appeals
Many years prior to his death the decedent transferred in trust certain securities, the income from which was to be paid to him during his lifetime and upon his death to his wife for her lifetime should she be living and upon her death to his daughter for her lifetime, with power of testamentary disposition in the daughter. In event of decedent surviving both his wife and daughter the properties were to be returned to him.
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Many years prior to his death the decedent transferred in trust certain securities, the income from which was to be paid to him during his lifetime and upon his death to his wife for her lifetime should she be living and upon her death to his daughter for her lifetime, with power of testamentary disposition in the daughter. In event of decedent surviving both his wife and daughter the properties were to be returned to him. However, should he and the daughter predecease the wife the properties were to be distributed to the distributees of his personal estate entitled to receive the same under…
1Opinion of the Court
*49OPINION.
Trammell:
The question here is whether the corpus oí the trust should be included in the gross estate of the decedent. The respondent has determined that it should be. The trust agreement reserved to the settlor the right to receive the income from the trust during his lifetime; it reserved to the settlor the right to supervise investments for the trustee, and there was included in the trust agreement a provision under the operation of which there was a possibility of the trust property reverting to the settlor in the event the beneficiaries predeceased him.
In our opinion, neither nor…
2Cases cited7 opinions
- Reinecke v. Northern Trust Co.Supreme Court of the United States · 1929
- Nichols v. CoolidgeSupreme Court of the United States · 1927
- May v. HeinerSupreme Court of the United States · 1930
- Coolidge v. LongSupreme Court of the United States · 1931
- Cyrus H. McCormick v. David BurnetSupreme Court of the United States · 1931
2 more not listed; retrieve them via the Exa API.
3Cited by2 opinions
- Bonney v. CommissionerUnited States Board of Tax Appeals · 1933
- Helvering v. HallockSupreme Court of the United States · 1940