Carter v. Commissioner
United States Tax Court
1. Petitioner, a resident of California and an employee of Shell Company, became a member, in 1915, of an employees' fund. Under the plan of the fund, an employee deposited annually a percentage of his salary and Shell deposited a similar or greater amount. The deposits by the employee and by Shell were carried by the fund in the name of the employee, but the account was segregated into two parts.
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1. Petitioner, a resident of California and an employee of Shell Company, became a member, in 1915, of an employees' fund. Under the plan of the fund, an employee deposited annually a percentage of his salary and Shell deposited a similar or greater amount. The deposits by the employee and by Shell were carried by the fund in the name of the employee, but the account was segregated into two parts. The earnings on the segregated deposits were regularly credited to the proper parts. The credit of the deposits made by Shell and the earnings thereon were conditional until the employee had…
1Opinion of the Court
OPINION.
TuRnee, Judge:
The respondent’s determination that the petitioner realized income upon receipt of payments from the Fund in an amount equal to the excess of the total of the amounts received by him over the amounts which he had deposited and that the income so received was ordinary income, was in our opinion a sound and proper determination. The parties are agreed that .the Fund was not an employees’ trust, within the provisions of section 165 of the Internal Revenue Code, and that the payments made by the petitioner to the Fund over the years did not constitute the purchase of an…
2Cases cited3 opinions
- Sproull v. CommissionerUnited States Tax Court · 1951
- Rogan v. DelaneyCourt of Appeals for the Ninth Circuit · 1940
- Devlin v. Commissioner of Internal RevenueCourt of Appeals for the Ninth Circuit · 1936
3Cited by3 opinions
- Williams v. CommissionerUnited States Tax Court · 1968
- Carter v. CommissionerUnited States Tax Court · 1951
- Williams v. CommissionerUnited States Tax Court · 1968