Erdman v. Commissioner

OPINION.

Fat, Judge:

The first issue is whether the petitioners are entitled to an expense deduction for any of the legal fees incurred in connection with the litigation to construe the will. The respondent contends that the payment of these fees should be considered an expenditure of the trust. We agree with the respondent.

The equity court, in its decree, determined that the amount of the attorney fees incurred by all the parties was properly a charge upon the trust. When the legal fees of a beneficiary involved in trust litigation are ordered paid from a trust, it is because the beneficiary…