Franklin v. Commissioner
United States Tax Court
Petitioner employed attorneys to represent him in suits for attorneys' fees claimed by two groups of attorneys who represented him in a will controversy settled in his favor. Jurisdiction in both suits was obtained by attaching various income-producing property which he received as a result of the settlement.
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Petitioner employed attorneys to represent him in suits for attorneys' fees claimed by two groups of attorneys who represented him in a will controversy settled in his favor. Jurisdiction in both suits was obtained by attaching various income-producing property which he received as a result of the settlement. Held, legal expenses incurred with respect to the reduction of petitioner's liability for legal fees arising in connection with a will contest do not constitute ordinary and necessary expenses paid for the management, conservation, or maintenance of that property under section 212, 1954…
1Opinion of the Court
OPINION.
KeRN, Judge:
The question presented for our decision is whether attorneys’ fees paid to resist demands from two groups of attorneys participating in the settlement of a will contest may be deducted as ordinary and necessary expenses paid for the conservation or maintenance of property held for the production of income within the meau-ing of section 212 of the Internal Revenue Code of 1954.2
Petitioner contends that the legal fees paid in defending his income-producing property against attachment proceedings brought by Sanford and Johnson and Eisenhart and Bonuso constitute ordinary and…
2Cases cited13 opinions
- McDonald v. CommissionerSupreme Court of the United States · 1944
- Lykes v. United StatesSupreme Court of the United States · 1952
- Baer v. Commissioner of Internal RevenueCourt of Appeals for the Eighth Circuit · 1952
- Joseph Lewis v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1958
- Ambassador, Inc. v. United StatesSupreme Court of the United States · 1945
8 more not listed; retrieve them via the Exa API.
3Cited by2 opinions
- Orlo G. Burch and Marjorie C. Burch v. United StatesCourt of Appeals for the Second Circuit · 1983
- Franklin v. CommissionerUnited States Tax Court · 1962