Smith's Trustees v. Smith [1924] ScotLR 364 (05 March 1924)

Smith's Trustees v. Smith [1924] ScotLR 364 (05 March 1924)

The trustees are bound to relieve the widow of her liability to super tax in respect of the annuity, as the phrase 'free of all income tax, Government duties (if any), and all other deductions' includes super tax.

Citation
[1924] ScotLR 364
Parties
First Parties: Mrs Florence May Wimble or Smith and others, Trustees of Joseph James Smith; Second Party: Mrs Florence May Wimble or Smith
Jurisdiction
Scotland
Judgment Date
05 March 1924
Procedural Posture
Special Case (construction of Testamentary Trust) / Inner House, Court of Session (judgment on Stated Case)
Outcome
Question of law answered in the affirmative; trustees are bound to relieve the widow of super tax liability on the annuity.
Legal Topics
Construction of Testamentary Instruments, Annuities Free of Tax, Interpretation of 'income Tax' to Include Super Tax
Succession Trusts and Estates Construction of Testamentary Instruments Annuities Free of Tax Interpretation of 'income Tax' to Include Super Tax

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 7 Party arguments 2 Amounts and remedies 2
Sign in to unlock

Parties

Mrs Florence May Wimble or Smith and others, Trustees of Joseph James Smith

First Parties

Mrs Florence May Wimble or Smith

Second Party

Procedural Posture

Special Case (construction of Testamentary Trust) / Inner House, Court of Session (judgment on Stated Case)

Legal Issues

  1. 1 Whether trustees are bound to relieve the widow of liability to super tax on an annuity directed to be paid 'free of all income tax, Government duties (if any), and all other deductions'

Ratio Decidendi

The trustees are bound to relieve the widow of her liability to super tax in respect of the annuity, as the phrase 'free of all income tax, Government duties (if any), and all other deductions' includes super tax.

Court Disposition

Question of law answered in the affirmative; trustees are bound to relieve the widow of super tax liability on the annuity.

Orders

  • Trustees must pay or relieve the widow of super tax on the annuity as per the trust-disposition and settlement.