Crawford v. Commissioner
United States Board of Tax Appeals
In 1923 petitioner's mother created a trust, the income from which was payable to the petitioner and her brother in equal shares. In 1927 the brother became involved in marital difficulties and by an aggreement between the mother, the petitioner, and her brother the trust instrument was altered so that all the income thereof was payable to the petitioner, the petitioner agreeing, however, by written agreement formally executed, to pay over half of such income to her brother.
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In 1923 petitioner's mother created a trust, the income from which was payable to the petitioner and her brother in equal shares. In 1927 the brother became involved in marital difficulties and by an aggreement between the mother, the petitioner, and her brother the trust instrument was altered so that all the income thereof was payable to the petitioner, the petitioner agreeing, however, by written agreement formally executed, to pay over half of such income to her brother. The agreement remained in effect during 1930 and the trust income was deposited by the trustee in a joint bank account…
1Opinion of the Court
OPINION.
Smith :
The respondent has determined a deficiency in petitioner’s income tax liability for 1930 of $1,540.99. The only question in issue is whether the petitioner is taxable upon all or only one half of the income from a certain trust created by the petitioner’s mother on January 22, 1923. The trust provided that the settlor should turn over to the National City Bank of New York as trustee certain securities, the income from which was to go one half to the petitioner and one half to the petitioner’s brother, John B. Hower. The trust was to continue for the respective lives of the…
2Cases cited1 opinion
- Power v. CommissionerUnited States Board of Tax Appeals · 1931
3Cited by1 opinion
- Crawford v. CommissionerUnited States Board of Tax Appeals · 1934