INTRODUCTION

TREASURY DEPARTMENT,

OFFICE OF COMMISSIONER OF Internal Revenue, Washington, D. C., December 31, 1928. To Officers of Internal Revenue and Others:

The within decisions of the Commissioner of Internal Revenue, rendered during the calendar year 1928, upon the construction to be given to the various acts of Congress relating to the internal revenue, are published for the information and guidance of officers of the internal revenue and others concerned.

This volume contains Treasury Decisions numbered 4118 to 4252, inclusive, and embraces rulings of the Treasury Department made during the calendar year ended December 31, 1928.

D. H. BLAIR, Commissioner of Internal Revenue. (III)

INTERNAL REVENUE

(T. D. 4118)

Estate tax

Exclusion from gross estate of nonresident alien of United States bonds, notes, and certificates of indebtedness, and bonds of the War Finance Corporation. Article 11, Regulations 70, amended.

TREASURY DEPARTMENT,

OFFICE OF COMMISSIONER OF INTERNAL REVENUE,
Washington, D. C.

To Collectors of Internal Revenue and Others Concerned:
Article 11, Regulations 70, is hereby amended by adding at the
end of the third paragraph thereof the following new sentence:

In case the decedent was a nonresident alien not engaged in business in the United States, bonds, notes, and certificates of indebtedness of the United States, and bonds of the War Finance Corporation, beneficially owned by such alien, should not be included.

Approved January 5, 1928:

A. W. MELLON,

D. H. BLAIR,

Commissioner of Internal Revenue.

Secretary of the Treasury.

(T. D. 4119)

Federal taxes-Revenue act of 1921-Decision of court

1. ASSESSMENT-VALIDITY-DISSOLVED CORPORATION.

An assessment against a corporation is not void by reason of the fact that it was made after the dissolution of the corporation.

2. ASSESSMENT PRIMA FACIE EVIDENCE-SUIT AGAINST TRANSFEREE.

An assessment against a corporation is prima facie evidence of the correct tax liability in an action to collect the tax against a transferee of the assets under the trust fund doctrine.

3. BURDEN OF PROOF-TRUST FUND DOCTRINE.

In an action to charge a stockholder with a trust in favor of the United States to the extent of corporate taxes due and unpaid the burden of proof is on the Government to show that he received property from the corporation as a stockholder and not as a bona fide creditor.