Burnet v. Leininger - 285 U.S. 136 (1932)
U.S. Supreme Court
Burnet v. Leininger, 285 U.S. 136 (1932)
Burnet v. Leininger
Argued February 16, 1932
Decided March 14, 1932
285 U.S. 136
1. Findings of fact of the Board of Tax Appeals, when not challenged as unsupported by evidence, are conclusive on review. P. 285 U. S. 138.
2. A husband who was a member of a partnership agreed with his wife that she should be an "equal partner" with him in his interest in the company, and should share equally with him the profits and losses.
(1) The agreement did not make the wife a member of the partnership without the consent of the other partners, but amounted, at most, to an equitable assignment of one-half of what her husband should receive from the partnership, she in turn agreeing to make good to him one-half of the losses he might sustain by reason of his membership in the firm. P. 285 U. S. 139.
(3) The wife's interest being derived from and dependent upon the husband's distributive share, taxation of the whole as his income is not unconstitutional. Hoeper v. Tax Commission, 284 U. S. 206, distinguished. P. 285 U. S. 142.
51 F.2d 7 reversed.
19 B.T.A. 621 affirmed.
Certiorari, 284 U.S. 608, to review a judgment reversing an order of the Board of Tax Appeals.