Ida Mae Whittaker - Page 5




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               Petitioner cannot avoid taxation of her annuity payments               
          merely because Boeing administrative personnel apparently                   
          mistakenly listed Mr. Whittaker’s SSN rather than petitioner’s              
          SSN on documents relating to payments made to her after Mr.                 
          Whittaker’s death.  The sweep of section 61 is very broad.  Gross           
          income includes “instances of undeniable accessions to wealth,              
          clearly realized, and over which the taxpayers have complete                
          dominion.”  Commissioner v. Glenshaw Glass Co., 348 U.S. 426, 431           
          (1955).  Petitioner was entitled to the annuity payments at                 
          issue, and they were properly deposited to a bank account under             
          her control.  Petitioner has not shown that the annuity payments            
          fall within any provision of the Code or of other law exempting             
          or excluding them from gross income.                                        
               The bank account into which the funds were deposited appears           
          to be a so-called Totten trust account; that is, an account                 
          belonging to the depositor with a beneficiary designated to                 
          succeed to the funds only in the event of the depositor’s death.            
          See Funk v. Funk, 598 P.2d 792, 794-795 (Wash. Ct. App. 1979).3             


               3 In Funk v. Funk, 598 P.2d 792, 794 (Wash. Ct. App. 1979),            
          the Washington Court of Appeals stated:                                     
               The doctrine of tentative trusts emerged from the oft-                 
               quoted case of In Re Totten, 179 N.Y. 112, 125, 71 N.E.                
               748, 752 (1904), cited with approval in In Re Madsen’s                 
               Estate, 48 Wash.2d 675, 678-79, 296 P.2d 518 (1956):                   
               “A deposit by one person of his own money, in his own                  
               name as trustee for another, standing alone, does not                  
                                                             (continued...)           





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