Morris v. Commissioner
United States Board of Tax Appeals
1. TRUSTS - INCOME FOR BENEFIT OF GRANTOR. - Where the taxpayer created certain trusts, making himself one of the two trustees, and such part of the income of each trust as the trustees, in the exercise of their discretion, might decide upon, was payable thereunder to the primary beneficiaries, and the corpus of the trust in each case was to be reconveyed to the taxpayer upon termination of the trust period, it is held that income arising from sales of the trust corpus, and…
Read the full summary
1. TRUSTS - INCOME FOR BENEFIT OF GRANTOR. - Where the taxpayer created certain trusts, making himself one of the two trustees, and such part of the income of each trust as the trustees, in the exercise of their discretion, might decide upon, was payable thereunder to the primary beneficiaries, and the corpus of the trust in each case was to be reconveyed to the taxpayer upon termination of the trust period, it is held that income arising from sales of the trust corpus, and constituting under state law an addition to such corpus, not distributable to the beneficiaries, is income in respect to…
1Opinion of the Court
OPINION.
Leech:
This proceeding seeks redetermination of a deficiency of $34,769.61 for the calendar year 1929. The error assigned is the action of respondent in including in petitioner’s income for the year in question the income of five trusts created by him in favor of his wife and four daughters.
The facts are stipulated and only a brief statement of such as are necessary for an understanding of the issues will be made here.
*242Petitioner, at the time of the occurrence here involved, was, and is now, a resident of the State of New York. On July 1, 1926, he executed five trust instruments by…
2Cases cited7 opinions
- Freuler v. HelveringSupreme Court of the United States · 1934
- Matter of KohlerNew York Court of Appeals · 1921
- Hill v. Guaranty Trust Co.Appellate Division of the Supreme Court of the State of New York · 1914
- Curtis v. CurtisAppellate Division of the Supreme Court of the State of New York · 1918
- In re the Judicial Settlement of the Account of BavierAppellate Division of the Supreme Court of the State of New York · 1914
2 more not listed; retrieve them via the Exa API.
3Cited by2 opinions
- Dravo v. CommissionerUnited States Board of Tax Appeals · 1936
- Morris v. CommissionerUnited States Board of Tax Appeals · 1935