Bank of America Nat'l Asso. v. Commissioner
United States Board of Tax Appeals
TRUSTS - DEDUCTION. - The testator's will created a trust, the income therefrom to be paid to his wife and daughter during their lives in equal shares and all the income to the survivor. The wife and daughter were given power of appointment over $150,000 and $75,000, respectively, of the principal of the trust.
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TRUSTS - DEDUCTION. - The testator's will created a trust, the income therefrom to be paid to his wife and daughter during their lives in equal shares and all the income to the survivor. The wife and daughter were given power of appointment over $150,000 and $75,000, respectively, of the principal of the trust. Upon their deaths, $5,000 was to go to a cemetery and the remainder of the principal to be distributed pro rata among 12 charitable, religious, and educational institutions and a certain club, except that the amount so distributed should not exceed one-half of the testator's estate.…
1Opinion of the Court
*1276OPINION.
Trussell:
The income tax in the amount of $1,809.98 has been proposed by the respondent as a tax on the profit of $27,874.81 derived by the petitioner, as trustee, upon the sale of certain trust assets in 1926.
Section 219 of the Revenue Act of 1926 provides:
Seo. 219. (a) Tlie tax imposed by Parts I and II of this title shall apply to the income of estates or of any kind of property held in trust, including—
*1277(1) Income accumulated in trust for the benefit of unborn or unascertained persons or persons with contingent interests, and income accumulated or held for future distribution under…
2Cases cited7 opinions
- Ithaca Trust Co. v. United StatesSupreme Court of the United States · 1929
- Lederer v. StocktonSupreme Court of the United States · 1922
- Stewart v. PhelpsAppellate Division of the Supreme Court of the State of New York · 1902
- In re the Accounting of StevensNew York Surrogate's Court · 1905
- Baker v. ThompsonAppellate Division of the Supreme Court of the State of New York · 1918
2 more not listed; retrieve them via the Exa API.
3Cited by1 opinion
- Bank of America Nat'l Asso. v. CommissionerUnited States Board of Tax Appeals · 1930