Rea v. Commissioner
United States Board of Tax Appeals
Where a husband created a trust in 1928, the income of which was payable to his wife during her life, the income therefrom in 1932 is not taxable to the husband although his wife had instituted divorce proceedings prior to the creation of the trust and absolute divorce was granted to her subsequent to the creation of the trust, since no obligation on the part of the husband existed under the laws of Pennsylvania to support his former wife after an absolute divorce.
1Opinion of the Court
*1134OPINION.
ARtjndell :
The respondent’s determination that the income of the trust here involved is taxable to the petitioner is based upon the theory that the trust was created by the petitioner pursuant to a separation agreement between him and his wife to provide alimony for her in discharge of his legal obligation to support her. It is well settled that where a trust is created by a husband for the benefit of his wife in discharge of his marital duty to support her, the income therefrom is taxable to the husband and not to the wife. Douglas v. Willcuts, 296 U. S. 1; Commissioner v. Coxey, 297…
2Cases cited7 opinions
- Douglas v. WillcutsSupreme Court of the United States · 1935
- Helvering v. CoxeySupreme Court of the United States · 1936
- Epstein v. EpsteinSuperior Court of Pennsylvania · 1928
- Kerr v. KerrSupreme Court of Pennsylvania · 1907
- Guy T. Helvering, Commissioner of Internal Revenue v. Edmund O. Schweitzer.Supreme Court of the United States · 1935
2 more not listed; retrieve them via the Exa API.
3Cited by7 opinions
- Kuhn v. Princess Lida of Thurn & TaxisCourt of Appeals for the Third Circuit · 1941
- Commissioner of Internal Revenue v. MestaCourt of Appeals for the Third Circuit · 1941
- Dixon v. Commissioner of Internal RevenueCourt of Appeals for the Third Circuit · 1940
- Estate of Iversen v. CommissionerUnited States Tax Court · 1975
- Estate of Iversen v. CommissionerUnited States Tax Court · 1975
2 more not listed; retrieve them via the Exa API.