Blair v. Commissioner
United States Supreme Court
300 U.S. 5 (1937)
Relevant factsFree
Blair (plaintiff) inherited an income interest in a life trust and assigned part of his future trust income to his children. The Commissioner (defendant) argued the assigned income was still taxable to Blair. The Board of Tax Appeals sided with Blair, the Court of Appeals reversed, and the Supreme Court granted certiorari.
IssueFree
Whether tax liability for income from trust property attaches to ownership of the equitable interest rather than to the person who originally held it.