Brewster v. Gage

Petitioner’s father died testate May 20, 1918. The surrogate’s court at Rochester, New York, entered a final decree April 19, 1920, pursuant to which certain stocks were distributed to the petitioner , as one of the residuary legatees. He sold some of them in 1920, 1921 and 1922. For his income tax returns, he computed profit or loss on each sale by comparing the selling price of the stock with its value at the date of the decree of distribution and paid the amounts so determined. But the Commissioner of Internal Revenue held that the values of the stock at the date of testator’s death should…