Estate of McGuire v. Comm'r
United States Tax Court
Decedent's will created a trust and directed the trustee to apply the net income and "so much of the principal as in the judgment" of the trustee "shall be necessary for the comfort of my sister, Mother M. Camilla of the Sisters of Mercy, Rochester, New York." The balance remaining upon the death of decedent's sister was to be paid to the Sisters of Mercy.
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Decedent's will created a trust and directed the trustee to apply the net income and "so much of the principal as in the judgment" of the trustee "shall be necessary for the comfort of my sister, Mother M. Camilla of the Sisters of Mercy, Rochester, New York." The balance remaining upon the death of decedent's sister was to be paid to the Sisters of Mercy. Held, the trustee's power of invasion of the corpus of the trust was limited by a definite and ascertainable standard, and the estate is entitled to a deduction under sec. 2055 (a), I.R.C. 1954, computed in the manner prescribed by sec.…
1Opinion of the Court
FeathbRston, Judge:
Respondent determined a deficiency in estate tax in the amount of $1,144.45. The only issue is whether the decedent’s estate is entitled to a deduction under section 2055(a)1 for the value of the remainder interest in a trust where the trustee was authorized to use the net income and “so much of the principal” as in his judgment “shall be necessary for the comfort of my sister, Mother M. Camilla of the Sisters of Mercy, Rochester, New York.”
FINDINGS OF ACT
Bernard J. McGuire (hereinafter referred to as decedent) died testate on April 16, 1968. In his will he named his…
2Cases cited18 opinions
- Ithaca Trust Co. v. United StatesSupreme Court of the United States · 1929
- Henslee v. Union Planters National Bank & Trust Co.Supreme Court of the United States · 1949
- Merchants Nat. Bank of Boston v. CommissionerSupreme Court of the United States · 1943
- In Re the Accounting of the Manufacturers National Bank of TroyNew York Court of Appeals · 1936
- Holden v. . StrongNew York Court of Appeals · 1889
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3Cited by3 opinions
- Estate of Dumesnil v. CommissionerUnited States Tax Court · 1982
- Estate of Klafter v. CommissionerUnited States Tax Court · 1973
- Estate of McGuire v. Comm'rUnited States Tax Court · 1972