Peck v. Commissioner
United States Board of Tax Appeals
In 1920 petitioner and his then wife agreed upon a property settlement. Pursuant to his wife's request, petitioner transferred the property in trust, the net income to be paid to the wife during her lifetime for the use and benefit of herself and their two children. Petitioner had no power to amend or revoke the trust except with the consent of his wife, and only a remote possibility that the trust corpus would ever revert to him.
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In 1920 petitioner and his then wife agreed upon a property settlement. Pursuant to his wife's request, petitioner transferred the property in trust, the net income to be paid to the wife during her lifetime for the use and benefit of herself and their two children. Petitioner had no power to amend or revoke the trust except with the consent of his wife, and only a remote possibility that the trust corpus would ever revert to him. In 1925 petitioner was granted an absolute divorce in Paris, France. Held, the property settlement and decree of divorce terminated petitioner's marital obligation,…
1Opinion of the Court
*733OPINION.
Arnold:
In support of his determination that the income of the trust is taxable to petitioner respondent cites Douglas v. Willcuts, 296 U. S. 1, and Helvering v. Fitch, 309 U. S. 149. He contends that the trust income paid to Florence Eeid Peck discharged petitioner’s con*734tinuing legal obligation to support ber; that no full and complete discharge from said obligation resulted from the French decree of divorce; that said decree was rendered under circumstances amounting to fraud, because petitioner supplied the court with an erroneous address for his former wife and the court was…
2Cases cited9 opinions
- Thompson v. WhitmanSupreme Court of the United States · 1874
- Douglas v. WillcutsSupreme Court of the United States · 1935
- Helvering v. FitchSupreme Court of the United States · 1940
- Helvering v. LeonardSupreme Court of the United States · 1940
- Helvering v. FullerSupreme Court of the United States · 1940
4 more not listed; retrieve them via the Exa API.
3Cited by1 opinion
- Peck v. CommissionerUnited States Board of Tax Appeals · 1941