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the services or that less than half of the fees is his income.
We hold, therefore, that one half of the commitment fees received
by Century Industries for the taxable years 1981, 1982, 1983,
1984, and 1986 are includable in Kanter's income for those years.
Issue 3. Whether Kanter Received Unreported Income From Hi-
Chicago Trust for 1981, 1982, and 1983
FINDINGS OF FACT
In notices of deficiency for 1981, 1982, and 1983,
respondent determined that Kanter failed to report income
received from the Hi-Chicago Trust (HCT) in the amounts of
$42,720, $19,247, and $109,399, respectively.
At trial and in a stipulation of settled issues, Kanter
conceded the unreported income adjustment for 1981 but did not
concede the adjustments for 1982 and 1983 or the additions to tax
for 1981, 1982, and 1983 relating thereto.
HCT was established on March 6, 1972, by and between
Benjamin Markowe, as grantor, and Kanter, as trustee. The
beneficiaries of HCT were Sylvia Federman (the wife of Hyman L.
Federman (Federman)) and the children of Federman and Sylvia
Federman; namely Miles Federman, Ruth Silverstone, and Joan
Priver. The HCT agreement conferred broad powers upon the
trustee, including, but not limited to, the power to buy and sell
property and pay any reasonable compensation to the trustees.
Kanter served as trustee from the inception of the HCT through at
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