Wollman v. Commissioner
United States Board of Tax Appeals
Petitioner executed an instrument wherein he declared himself to be holding securities in trust to receive the income and pay it over to his wife. The so-called trust was to continue for one year; its objects were to reduce petitioner's income tax and provide for the personal expenses of his wife in lieu of an allowance he had theretofore given her.
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Petitioner executed an instrument wherein he declared himself to be holding securities in trust to receive the income and pay it over to his wife. The so-called trust was to continue for one year; its objects were to reduce petitioner's income tax and provide for the personal expenses of his wife in lieu of an allowance he had theretofore given her. Petitioner retained title to the securities, kept them in his safe-deposit box and collected the income, which he paid over to his wife. Held that the instrument does not create a valid subsisting trust which will be recognized for tax purposes…
1Opinion of the Court
*39OPINION.
ARTjndell :
Petitioner claims that the instrument of May 27, 1930, created a valid trust, irrevocable within the year 1930, and that the income from the trust property was taxable to the beneficiary under section 162 (b) of the Revenue Act of 1928. The respondent has taxed the income to the petitioner on the ground that the so-called trust was not a genuine trust transaction.
The statute is concerned with genuine trusts, and a proper administration of it permits inquiry into the motives prompting creation, the relation of the parties, and other circumstances surrounding the transaction.…
2Cases cited6 opinions
- Corliss v. BowersSupreme Court of the United States · 1930
- Poe v. SeabornSupreme Court of the United States · 1930
- Weiss v. WeinerSupreme Court of the United States · 1929
- Burnet v. WellsSupreme Court of the United States · 1933
- Reinecke v. SmithSupreme Court of the United States · 1933
1 more not listed; retrieve them via the Exa API.
3Cited by10 opinions
- Berolzheimer v. CommissionerUnited States Board of Tax Appeals · 1939
- Branch v. CommissionerUnited States Board of Tax Appeals · 1939
- Buck v. CommissionerUnited States Board of Tax Appeals · 1940
- Heller v. CommissionerUnited States Board of Tax Appeals · 1940
- Lamont v. CommissionerUnited States Board of Tax Appeals · 1940
5 more not listed; retrieve them via the Exa API.