Walker v. Commissioner
United States Tax Court
The decedent took out policies of insurance on his own life under which he could direct that the proceeds should be paid in the face amount of the policies or in periodic installments to the beneficiary. He elected to have the proceeds paid to his wife, the beneficiary, in monthly installments for life. However, up to the time of his death he reserved the right to change the beneficiaries and the method of payment of the proceeds.
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The decedent took out policies of insurance on his own life under which he could direct that the proceeds should be paid in the face amount of the policies or in periodic installments to the beneficiary. He elected to have the proceeds paid to his wife, the beneficiary, in monthly installments for life. However, up to the time of his death he reserved the right to change the beneficiaries and the method of payment of the proceeds. The lump sum which could have been payable under the policies at decedent's death was not in excess of what it would have cost to purchase an annuity contract…
1Opinion of the Court
OPINION.
Harkon, Judge:
The parties are agreed that the proceeds of the two life insurance policies involved are includible in the gross estate, but they differ on the amount to be included in the gross estate.
The question arises under section 811 (g) (2) of the Internal Revenue Code, the pertinent part of which is set forth in the margin.1 The problem is to determine the value which is to be included in the gross estate for insurance proceeds receivable by beneficiaries other than the executrix of the estate.
Respondent determined that the value to be included in the gross estate is $81,126.74.…
2Cases cited4 opinions
- Helvering v. R. J. Reynolds Tobacco Co.Supreme Court of the United States · 1939
- United States v. RyersonSupreme Court of the United States · 1941
- Guggenheim v. RasquinSupreme Court of the United States · 1941
- Welliver v. CommissionerUnited States Tax Court · 1947
3Cited by6 opinions
- Du Pont v. CommissionerUnited States Tax Court · 1952
- Grant v. SmythDistrict Court, N.D. California · 1954
- Pruyn v. CommissionerUnited States Tax Court · 1949
- Du Pont v. CommissionerUnited States Tax Court · 1952
- Pruyn v. CommissionerUnited States Tax Court · 1949
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