Scripps v. Commissioner
United States Board of Tax Appeals
In applying section 219 of the Revenue Acts of 1918 and 1921 and determining whether the income of a trust is taxable to the fiduciary or the beneficiary all the facts and circumstances must be considered. The income has in fact and without question since the creation of the trust and for many years been distributed periodically, held not taxable to the fiduciary.
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In applying section 219 of the Revenue Acts of 1918 and 1921 and determining whether the income of a trust is taxable to the fiduciary or the beneficiary all the facts and circumstances must be considered. The income has in fact and without question since the creation of the trust and for many years been distributed periodically, held not taxable to the fiduciary. Under the 1918 and 1921 acts the discretion of the fiduciary is not determinative of tax liability, and Art. 342, Reg. 45 and Reg. 62 is not controlling.
1Opinion of the Court
*493OPINION.
Sternhagen: The appeal presents for our consideration and determination the construction of section 219 of the Revenue Act of 1918 and the same section of the Revenue Act of 1921, and particularly the application of those sections to that portion of the income received by the trustees as is covered by paragraph (d) of the trust instrument.
The Revenue Act of 1918, section 219, is as follows:
Sec. 219. (a) That the tax imposed by sections 210 and 211 shall apply to the income of estates or of any hind of property held in trust, including—
*494(1) Income received by estates of deceased persons…
2Cited by5 opinions
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- Guitar Trust Estate v. CommissionerUnited States Board of Tax Appeals · 1932
- McCrory v. CommissionerUnited States Board of Tax Appeals · 1932
- Scripps v. CommissionerUnited States Board of Tax Appeals · 1925