Allen v. Commissioner
United States Tax Court
Held, that portion of a bonus for the signing of a contract by petitioner (a minor) to play baseball for a professional baseball team which was paid directly to his mother by prearrangement in the contract was taxable to petitioner under sec. 73 or sec. 61, I.R.C. 1954. Held, further, petitioner was not entitled to deduct from his gross income any part of the bonus payments made to his mother during the years here in issue.
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Held, that portion of a bonus for the signing of a contract by petitioner (a minor) to play baseball for a professional baseball team which was paid directly to his mother by prearrangement in the contract was taxable to petitioner under sec. 73 or sec. 61, I.R.C. 1954. Held, further, petitioner was not entitled to deduct from his gross income any part of the bonus payments made to his mother during the years here in issue. Cecil Randolph Hundley, Jr., 48 T.C. 339, distinguished.
1Opinion of the Court
OPINION
Raum, Judge:
1. Inclusion, of Bonus in Petitioner’s Gross Income.— (a) Petitioner was only 18 years old when the events giving rise to the bonus payments in controversy took place. Accordingly, if the payments made during the years in issue (1961-63) by the Phillies to Era Allen, petitioner’s mother, constitute “amounts received in respect of the services” of petitioner within the meaning of section 73 (a), I.R.C. 1954,2 then plainly they must be included in petitioner’s gross income rather than in that of his mother. Although petitioner contends that the statute does not cover the…
2Cases cited9 opinions
- Lucas v. EarlSupreme Court of the United States · 1930
- Helvering v. HorstSupreme Court of the United States · 1940
- Harrison v. SchaffnerSupreme Court of the United States · 1941
- Helvering v. EubankSupreme Court of the United States · 1941
- De Korse v. CommissionerUnited States Tax Court · 1945
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3Cited by11 opinions
- Bassett v. CommissionerUnited States Tax Court · 1993
- Fritschle v. CommissionerUnited States Tax Court · 1982
- Linseman v. CommissionerUnited States Tax Court · 1984
- Lopez v. Comm'rUnited States Tax Court · 2017
- Allen v. CommissionerUnited States Tax Court · 1968
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