Rouse v. Commissioner of Internal Revenue

WALLER, Circuit Judge.

Antecedent to a divorce the taxpayer and his wife, domiciliaries in the State of Texas, made a property settlement whereby the wife, in consideration of the sum of $60,722.39, transferred to her husband her one-half interest in all of the community property as well as her separate property of the value of $27,000. In the decree of divorce, granted a few days later, the Court said: “The parties hereto have made settlement agreement with respect to property and property rights, and other matters set forth in said agreement, and this Decree does not impair, affect, nor…