Dauphin Deposit Trust Co. v. Commissioner
United States Board of Tax Appeals
A trust is not taxable as an association where it was organized for the purpose of managing property pending advantageous disposition and distribution of the proceeds to the beneficiaries and where the business activities carried on were merely incidental to the main purpose of distribution.
1Opinion of the Court
*1221OPINION.
Seawell :
The primary issue presented in this case is whether the petitioner is taxable as a trust or whether it is to be considered an association and therefore taxable as a corporation. The years involved are the calendar years 1924 and 1925, for which years the petitioner filed returns as a trust. Section 704 of the Revenue Act of 1928 provides as follows:(a) If a taxpayer filed a return as a trust for any taxable year prior to the taxable year 1925 such taxpayer shall be taxable as a trust for such year and not as a corporation, if such taxpayer was considered to be taxable as a…
2Cases cited2 opinions
- Hecht v. MalleySupreme Court of the United States · 1924
- Von Baumbach v. Sargent Land Co.Supreme Court of the United States · 1917
3Cited by5 opinions
- Richards v. CommissionerUnited States Board of Tax Appeals · 1934
- Monrovia Oil Co. v. CommissionerUnited States Board of Tax Appeals · 1933
- Cole & Crane Real Estate Trust v. CommissionerUnited States Tax Court · 1944
- Dauphin Deposit Trust Co. v. CommissionerUnited States Board of Tax Appeals · 1931
- Mortgage Trust Certificate Pool v. CommissionerUnited States Board of Tax Appeals · 1940