Knox v. Commissioner
United States Board of Tax Appeals
A gift was made to a trust, the income from which was payable to grantor's two named children, and any after-born children. Trustees had the right in their discretion to accumulate the income for the grantor's children, or either of them then living, and pay over such accumulations to the child for whose benefit the same was accumulated upon his arriving at the age of 21 years, or sooner if the trust should be terminated.
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A gift was made to a trust, the income from which was payable to grantor's two named children, and any after-born children. Trustees had the right in their discretion to accumulate the income for the grantor's children, or either of them then living, and pay over such accumulations to the child for whose benefit the same was accumulated upon his arriving at the age of 21 years, or sooner if the trust should be terminated. Held, a gift of a present interest, the first $5,000 of which should not be included in the total amount of the gifts made during the calendar year.
1Opinion of the Court
OPINION.
Arnold :
Respondent has determined a deficiency in gift tax under the Revenue Act of 1932 in the amount of $950. The facts are stipulated as follows:
1. Seymour H. Knox, the petitioner herein, is and at all times material was a resident of the City of Buffalo, New York.
2. On December 26, 1934, petitioner entered into an agreement of trust with The Marine Trust Company of Buffalo, a trust company incorporated under the laws of the State of New York, with its principal office in the City of Buffalo, New York, and himself, as trustees, a true and correct copy of which *631agreement of trust is…
2Cited by9 opinions
- Rheinstrom v. Commissioner of Internal RevenueCourt of Appeals for the Eighth Circuit · 1939
- Helvering v. RubinsteinCourt of Appeals for the Eighth Circuit · 1942
- Davidson v. WelchDistrict Court, D. Massachusetts · 1938
- Pelzer v. United StatesUnited States Court of Claims · 1940
- Faulkner v. CommissionerUnited States Board of Tax Appeals · 1940
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