Phillips v. Commissioner

Decedent, prior to his death, entered into certain agreements with his wife and a trustee for the payment of stated sums for the benefit of his wife and children, beginning with the granting to him of an uncontested divorce. Under the settlement agreements the wife relinquished all marital claims against the husband and acquired custody of the children. Decedent secured an uncontested divorce and remarried. Upon his death, claims were asserted against his estate under the agreements in favor of the divorced wife and the children. Held, that claim of divorced wife is not an allowable deduction…