McDonald v. Helvering

MARTIN, Chief Justice.

An appeal from a decision of the Board of Tax Appeals (28 B. T. A. 1234), affirming a determination by the Commissioner of Internal Revenue of a deficiency of $12,681.70 in petitioner’s income tax return for the year 1927.

The question arises upon the disallowance by the Commissioner of a deduction claimed by petitioner in the amount of $25,-000, because of the payment of that sum to petitioner’s divorced wife from his share of his father’s estate; the payment being made by the trustee of the estate by authority of an agreement between petitioner and his divorced wife.

The…