Balch v. Commissioner

Sixth Circuit

Balch v. Commissioner

129 F.2d 472, 29 A.F.T.R. (P-H) 936, 1942 U.S. App. LEXIS 3402

CourtCourt of Appeals for the Sixth Circuit

DecidedJune 29, 1942

DocketNo. 9075

StatusPublished

Cited by4 cases

This text of 129 F.2d 472 (Balch v. Commissioner) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Balch v. Commissioner, 129 F.2d 472, 29 A.F.T.R. (P-H) 936, 1942 U.S. App. LEXIS 3402 (6th Cir. 1942).

Pincite

Opinion

PER CURIAM.

This case came on to be heard upon the record and briefs and oral arguments of counsel; and it appearing that the only question presented is the legality of a deduction of $7,333.40 which the petitioner claimed in her income tax return for the year 1935;

And it appearing that petitioner created an irrevocable trust of which she was to receive the income for life with the remainder to her son, or in the event of his death to his children or their issue; and that in the taxable year an assessment was levied against 1,892 shares of Kalamazoo Bancshares, Inc., held by such trust; that the trustee had no cash balance in the trust at that time, and that rather than have the trustee sell any of the securities held in trust the petitioner advanced to the trustee $7,333.40, the amount necessary to pay such assessment; and included such amount with other gifts in her federal gift tax return for the year 1935;

And it appearing that a deduction is allowable only where there is clear provision therefor; New Colonial Ice Co., Inc., v. Helvering. 292 U.S. 435, 440, 54 S.Ct. 788, 78 L.Ed. 1348; and that the petitioner, in advancing the sum in question made a voluntary contribution to the trust estate and sustained no loss within the meaning of the federal income tax law;

It is ordered that the decision of the Board of Tax Appeals be, and it hereby is, affirmed.

Free access — add to your briefcase to read the full text and ask questions with AI

PER CURIAM.

This case came on to be heard upon the record and briefs and oral arguments of counsel; and it appearing that the only question presented is the legality of a deduction of $7,333.40 which the petitioner claimed in her income tax return for the year 1935;

And it appearing that petitioner created an irrevocable trust of which she was to receive the income for life with the remainder to her son, or in the event of his death to his children or their issue; and that in the taxable year an assessment was levied against 1,892 shares of Kalamazoo Bancshares, Inc., held by such trust; that the trustee had no cash balance in the trust at that time, and that rather than have the trustee sell any of the securities held in trust the petitioner advanced to the trustee $7,333.40, the amount necessary to pay such assessment; and included such amount with other gifts in her federal gift tax return for the year 1935;

And it appearing that a deduction is allowable only where there is clear provision therefor; New Colonial Ice Co., Inc., v. Helvering. 292 U.S. 435, 440, 54 S.Ct. 788, 78 L.Ed. 1348; and that the petitioner, in advancing the sum in question made a voluntary contribution to the trust estate and sustained no loss within the meaning of the federal income tax law;

It is ordered that the decision of the Board of Tax Appeals be, and it hereby is, affirmed.

Cite This Page — Counsel Stack

Bluebook (online)

129 F.2d 472, 29 A.F.T.R. (P-H) 936, 1942 U.S. App. LEXIS 3402, Counsel Stack Legal Research, https://law.counselstack.com/opinion/balch-v-commissioner-ca6-1942.

Opinion

Related

Cite This Page — Counsel Stack