Harwood v. Commissioner
United States Tax Court
The executors of decedent's estate paid to themselves, as the duly appointed testamentary trustees of a trust established by decedent, the income received by the estate during its administration. Held that the amount was "properly paid" to a legatee within the purview of section 162 (c), I. R. C., and should have been allowed as a deduction in computing the net income of the estate for the year in which it was received and paid over.
Read the full summary
The executors of decedent's estate paid to themselves, as the duly appointed testamentary trustees of a trust established by decedent, the income received by the estate during its administration. Held that the amount was "properly paid" to a legatee within the purview of section 162 (c), I. R. C., and should have been allowed as a deduction in computing the net income of the estate for the year in which it was received and paid over. Commissioner v. Bishop Trust, Executor, 136 Fed. (2d) 390; Commissioner v. Crawford's Estate, 139 Fed. (2d) 616.
1Opinion of the Court
OPINION.
Mellott, Judge-.
The Commissioner determined a deficiency in the income tax of the estate of Robert W. Harwood for the calendar year 1940 in the amount of $32,993.20. The sole question is, Did the sum of $55,460.46 distributed on December 24, 1940, by its executors to the trustees of a trust created under the will of the decedent constitute an allowable deduction?
An issue with reference to the disallowance by the respondent of a deduction for interest paid amounting to $125.10 has been abandoned by petitioner.
All of the facts have been stipulated.
Robert W. Harwood, a resident of…
2Cases cited8 opinions
- Helvering v. ButterworthSupreme Court of the United States · 1933
- Uterhart v. United StatesSupreme Court of the United States · 1916
- Smith v. LivermoreMassachusetts Supreme Judicial Court · 1937
- Old Colony Trust Co. v. SmithMassachusetts Supreme Judicial Court · 1929
- Rogers v. CommissionerUnited States Tax Court · 1943
3 more not listed; retrieve them via the Exa API.
3Cited by7 opinions
- Dunlop v. CommissionerCourt of Appeals for the Eighth Circuit · 1948
- First Nat'l Bank v. CommissionerUnited States Tax Court · 1946
- Herbert v. CommissionerUnited States Tax Court · 1956
- First Nat'l Bank v. CommissionerUnited States Tax Court · 1946
- Harwood v. CommissionerUnited States Tax Court · 1944
2 more not listed; retrieve them via the Exa API.