- 6 -
Ripplestone had six underground fuel storage tanks which had
leaked and contaminated soil near the farmhouse and soil and
groundwater near the garage apartments. Developers wanted, but
were unable, to subdivide Ripplestone into lots that were smaller
than five acres. There was substantial local opposition to
subdividing Ripplestone. Petitioners did not know about the
environmental or zoning problems until after the estate filed the
estate tax return.
D. Trust B's Assets When Decedent Died
Ameritrust, as trustee for Trust B, held title in trust to
Ripplestone. Trust B held assets which had a fair market value
of $11,433,458.03 when decedent died on June 18, 1989, including
Ripplestone with a fair market value of $2.4 million and stock,
Treasury Bills, and an investment trust with fair market value of
$9,033,458.03. When decedent died, Trust B had accrued
liabilities of $41,935.34, which were for trustee's fees.
Decedent's gross estate included the property held by Trust
B because it was subject to her general power of appointment.
Sec. 2041(a). However, the property held by Trust B was not a
probate asset and was not subject to claims against decedent's
estate.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011