National Bank v. District of Columbia (176 F.2d 62, 1949)

PROCTOR, Circuit Judge.

The five Mergner children, minors, were living together, under guardianship, in a home conducted for their joint benefit. The home furnishings and effects were owned by the children in common. In personal property returns made to the Tax Assessor for the years 1943 to 1947, the National Bank of Washington, guardian of the estates of said minors, ’ reported the value of the interest of each child in said furnishings to be $146.81 (calculated on a total value of $734.08) and claimed in each return the statutory exemption of $1000. Thus stated, there was no valuation subject to taxation. The returns were rejected. Assessments were then made for each year in larger amounts against the Mergners collectively, and penalties added for defaults in making the returns. A single exemption of $1000 was allowed against each assessment. The higher valuations resulted in taxable amounts covering each annual period, for which bills were rendered. The matter was taken to the Board of Tax Appeals. Only two issues were formally raised: 1. Excessive amount of the assessments; 2. Failure to allow separate exemptions. Some reductions were made in the assessments and n