In effect, the widows' fund provided a survivorship feature for the special fund, and an election to be covered by the widows' fund was similar to the option in many annuities to have the benefits paid to a survivor. The situation here is very similar to the situation in Anna E. Curtis, 8 T.C. 266. The taxpayer in that case was the widow of a retired fireman of the District of Columbia.

These payments constitute taxable income unless exempt under some specific section of the internal revenue laws. See Anna E. Curtis, 8 T.C. 266 (1947). The amounts were not property acquired by bequest, devise, or inheritance since petitioner's husband had no property rights in the fund which were subject to being so acquired by petitioner.

This Court has recognized that civil service retirement annuities are taxable. In Anna E. Curtis, 8 T.C. 266 (1947), we held that monthly annuity payments made from a statutory fund to the surviving widow of a retired fireman of the District of Columbia were taxable within section 22(b)(2), I.R.C. 1939. The fireman had contributed to the fund through salary deductions as required.

Sec. 22(b)(2)(A), I.R.C. 1939. Anna E. Curtis, 8 T.C. 266 (1947). In view of our decision, it is unnecessary for us to decide whether the value of the survivor's interest was properly included in the gross estate of Joseph Morschauser.