Carter v. Commissioner
United States Board of Tax Appeals
1. Members of a law partnership, including petitioners, entered into an agreement which provided that in case of the death of any member his estate should receive a sum equal to one-half of the amount actually received by the deceased partner during the two calendar years nest preceding his death, in full payment of his interest in the firm and its assets.
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1. Members of a law partnership, including petitioners, entered into an agreement which provided that in case of the death of any member his estate should receive a sum equal to one-half of the amount actually received by the deceased partner during the two calendar years nest preceding his death, in full payment of his interest in the firm and its assets. Held, the transaction thereunder was a sale, and the income out of which payments were made to the deceased member's estate constituted distributive income to the surviving partners. Such income is taxable to petitioners according to their…
1Opinion of the Court
*66OPINION.
Hill:
Petitioners allege that respondent, in determining the deficiencies, erred in treating as distributable income of the partnership and including in taxable income of each of the petitioners, other than the estate of Robert Burkham, deceased, their respective proportionate interests in the amount paid to the estate of decedent during the taxable year, pursuant to the partnership agreement of January 1,1927. Substantially, the position of the petitioners is that the sum paid to the deceased partner’s estate was that portion of the income from fees received by the partnership which…
2Cases cited6 opinions
- Bull v. United StatesSupreme Court of the United States · 1935
- Metcalf & Eddy v. MitchellSupreme Court of the United States · 1926
- Swift & Co. v. Hocking Valley Railway Co.Supreme Court of the United States · 1917
- State ex rel. Walker v. BusSupreme Court of Missouri · 1896
- State on Information of McKittrick v. WhittleSupreme Court of Missouri · 1933
1 more not listed; retrieve them via the Exa API.
3Cited by4 opinions
- Heiner v. MellonSupreme Court of the United States · 1938
- Estate of Jones v. CommissionerUnited States Tax Court · 1944
- Carter v. CommissionerUnited States Board of Tax Appeals · 1937
- John G. Madden & Anne Madden v. CommissionerUnited States Tax Court · 1946