Vanderbilt Trust v. Commissioner
United States Board of Tax Appeals
A trust with power to invest and reinvest the principal, collect the income, pay taxes and expenses, and distribute the income for the maintenance of the beneficiary during his minority and the principal periodically to him at certain ages, can not be dogmatically held to be carrying on a trade or business.
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A trust with power to invest and reinvest the principal, collect the income, pay taxes and expenses, and distribute the income for the maintenance of the beneficiary during his minority and the principal periodically to him at certain ages, can not be dogmatically held to be carrying on a trade or business. Upon the evidence, held, an attorney's fee paid by a trust as an incident to litigation involving the trust's claim to accumulated income and corpus of another trust, is not deductible as an ordinary and necessary expense of carrying on a trade or business.
1Opinion of the Court
GEORGE VANDERBILT TRUST, HENRY B. ANDERSON AND FREDERICK W. VANDERBILT, AS TRUSTEES UNDER THE LAST WILL AND TESTAMENT OF ALFRED G. VANDERBILT, DECEASED, PETITIONERS, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
HENRY B. ANDERSON AND FREDERICK W. VANDERBILT, AS TRUSTEES UNDER THE LAST WILL AND TESTAMENT OF ALFRED G. VANDERBILT, DECEASED, OF THE TRUST FOR ALFRED G. VANDERBILT, PETITIONERS, v. COMMISSIONER OF INTERNAL REVENUE, RESPONDENT.
Vanderbilt Trust v. Commissioner
Docket Nos. 70489, 70490.
United States Board of Tax Appeals
36 B.T.A. 967; 1937 BTA LEXIS 634;
November 26, 1937, Promulgated
A…
2Cases cited13 opinions
- Flint v. Stone Tracy Co.Supreme Court of the United States · 1911
- Emerson Electric Mfg. Co. v. CommissionerUnited States Board of Tax Appeals · 1926
- Laemmle v. EisnerDistrict Court, S.D. New York · 1920
- In re VanderbiltAppellate Division of the Supreme Court of the State of New York · 1930
- Appeal of First National Bank of St. LouisUnited States Board of Tax Appeals · 1926
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