Hutchings v. Commissioner of Internal Revenue

HUTCHESON, Circuit Judge.

Petitioner, having a donative intent toward her seven children, transferred to two of them in trust for the seven, property valued at $144,970.34. The- Commissioner allowed a specific exemption of $50,000, and on the theory that the donation was one, to the trustees and not seven, one to each of the beneficiaries, allowed the donor one $5,000 exemption instead of the seven she claimed. The Board sustained the Commissioner’s determination. Petitioner’s appeal presents the single question whether, for the purpose of the $5,000 gift tax exclusion, allowed under Section…