United States Supreme Court Cases & Opinions

U.S. Supreme Court

DeGanay v. Lederer, 250 U.S. 376 (1919)

DeGanay v. Lederer

No. 319

Argued April 23, 1919

Decided June 9, 1919

250 U.S. 376

Syllabus

Stocks and bonds issued by domestic corporations, and mortgages secured on domestic real estate, were owned by an alien nonresident but were in the hands of an agent in this country, empowered to sell, assign and transfer any of them and to invest and reinvest the proceeds as it might deem best in the management of the business affairs of the owner. Held that the income was subject to tax under the Income Tax Law of October 3, 1913, c. 16, § II, A, subdiv. 1, 38 Stat. 166, as income from "property owned . . . in the United States by persons residing elsewhere." P. 250 U. S. 380.

Bonds, mortgages and certificates of stock are ordinarily regarded as "property," and that term is presumed to have been used in the statute with its ordinary sense, nothing to the contrary appearing. Id.

It is well settled that such property may have a situs for taxation at a place other than the owner's domicile. P. 250 U. S. 381.

The case is stated in the opinion.

Page 250 U. S. 378