McCahan v. Commissioner
United States Board of Tax Appeals
The petitioner, as executrix of an estate, in course of administration, paid estate and inheritance taxes in excess of the total amount of taxable items of gross income of the estate. During the same years she distributed to herself, as beneficiary under the will, several amounts which were designated as distributions of principal and as distributions of tax-exempt income.
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The petitioner, as executrix of an estate, in course of administration, paid estate and inheritance taxes in excess of the total amount of taxable items of gross income of the estate. During the same years she distributed to herself, as beneficiary under the will, several amounts which were designated as distributions of principal and as distributions of tax-exempt income. Held, the estate had no taxable income and the petitioner was not liable for tax upon such distributions.
1Opinion of the Court
*946OPINION.
Miller:
There were at all times sufficient available funds in the corpus of the estate to pay to petitioner all of the amounts which she received from the estate. The amounts distributed to her were designated as distributions of capital or as distributions of tax-exempt income, except $11,327.82 returned by her as taxable income in 1933. Respondent’s contention is that there was taxable income in the hands of the executrix, which was distributed to petitioner; that neither the availability of principal funds nor the various designations of the distributions as principal and as…
2Cases cited3 opinions
- United States v. MitchellSupreme Court of the United States · 1926
- United States v. WoodwardSupreme Court of the United States · 1921
- Keith v. JohnsonSupreme Court of the United States · 1926
3Cited by4 opinions
- Brown v. United StatesDistrict Court, E.D. Missouri · 1937
- Caldwell v. United StatesCourt of Appeals for the Seventh Circuit · 1939
- County Nat. Bank & Trust Co. v. HelveringCourt of Appeals for the D.C. Circuit · 1941
- McCahan v. CommissionerUnited States Board of Tax Appeals · 1937