Maxwell v. Commissioner
United States Tax Court
P and his wife were the founders, controlling shareholders, and principal officers of H. P sustained serious physical injuries while in H's employment. P served a written demand upon H asking compensation for his injuries. Thereafter, based upon the advice of their respective attorneys regarding H's liability, P and H executed a settlement agreement under which H paid P $ 122,500. Held: The payment from H to P was for damages on account of personal injuries.
Read the full summary
P and his wife were the founders, controlling shareholders, and principal officers of H. P sustained serious physical injuries while in H's employment. P served a written demand upon H asking compensation for his injuries. Thereafter, based upon the advice of their respective attorneys regarding H's liability, P and H executed a settlement agreement under which H paid P $ 122,500. Held: The payment from H to P was for damages on account of personal injuries. P is entitled to exclude this amount from gross income under sec. 104(a)(2), I.R.C. 1954, and H is entitled to a deduction in this…
1Opinion of the Court
Peter E. Maxwell and Helen E. Maxwell, Petitioners v. Commissioner of Internal Revenue, Respondent; Hi Life Products, Inc., Petitioner v. Commissioner of Internal Revenue, Respondent
Maxwell v. Commissioner
Docket Nos. 37185-86, 37186-861
United States Tax Court
95 T.C. 107; 1990 U.S. Tax Ct. LEXIS 73; 95 T.C. No. 9;
July 31, 1990, Filed
Decisions will be entered for the petitioners.
P and his wife were the founders, controlling shareholders, and principal officers of H. P sustained serious physical injuries while in H's employment. P served a written demand upon H asking compensation for his…
2Cases cited30 opinions
- Welch v. HelveringSupreme Court of the United States · 1933
- Gregory v. HelveringSupreme Court of the United States · 1935
- James E. Threlkeld v. Commissioner of Internal RevenueCourt of Appeals for the Sixth Circuit · 1988
- Threlkeld v. CommissionerUnited States Tax Court · 1986
- Donald A. Peck Judith W. Peck v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1990
25 more not listed; retrieve them via the Exa API.