Continuing our series on Famous Tax Quotes (quotes from court opinions and rulings with language that is colorful or that concisely states an important tax principle) today's tax quote is:
Since * * * Duberstein, * * * the law has been clear that the predominant factor in determining whether a payment is a gift is the intent of the payor. It is utterly incredible that Burford, a man who had attended New York University’s tax school, who had practiced tax law for over 10 years, and who had taught tax law at Emory University’s School of Law for three years, would advise petitioner * * * that it was his (petitioner’s) state of mind and surrounding circumstances as recipient that determined the tax consequences of the payments to him. * * * It would seem that [Burford’s] generous impulse to make a gift was transformed by the time of the trial into a new economic impulse to save on [Burford’s] personal taxes. Regrettably, what was conceived and born in generosity was later debauched and disowned in avarice.
Abdella v. Commr., T.C. Memo 1983-616, footnote 11.