Estelle Morris Trusts, Nos. 401-410 v. Commissioner of Internal Revenue

BYRNE, District Judge:

I respectfully dissent.

I agree with the dissenting Tax Court judges that “in truth and substance (there was) but one trust, or at most two trusts (one for each of the two primary beneficiaries)” and that “the present case involves nothing more than pure sham” because “there was no relevant purpose other than tax avoidance for fragmenting what was essentially a single trust into a number of artificial units”.

The record shows that the Tax Court found that although (1) the trusts were created primarily for tax avoidance purposes, and (2) that these purposes continue to…