Tracy P. Streber, F.K.A. Tracy C. Parker, et al. - Page 19

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               D.  The Gifts                                                          
                    1.  Nature and Timing of the Gifts; Consequences                  
               We find that Parker made gifts to the daughters no later               
          than January 26, 1980, of some or all of his rights under the               
          earnest money contracts.  The rights of the daughters in the                
          property subject to the earnest money contracts (the Northgate              
          Forest property) were contributed to the joint venture in                   
          consideration of a 40-percent interest in the joint venture, as             
          reflected in the January 8 writing.  The $2 million notes                   
          received by the daughters were in consideration of their                    
          interests in the joint venture.  The daughters owned the                    
          $2 million notes at the time of their redemption in 1985 and,               
          therefore, are taxable on the proceeds of those notes.  Parker is           
          not taxable on those proceeds.                                              
                    2.  Intent to Make a Gift                                         
               "[T]he intent of the donor * * * is the principal issue in             
          determining whether a gift has been made."  Id. at 344.                     
               There is substantial evidence supporting the conclusion                
          that, sometime before the joint venture was formed on January 26,           
          1980, Parker formed the intent to make gifts to the daughters,              
          and we so find.  Parker told both Nathan and Thoner that the                
          daughters had some part of the Northgate Forest property deal.              
          Bradish certainly understood that, as evidenced by the January 8            
          writing.  Indeed, Bradish dictated to Mrs. Bradish the terms of             
          the January 8 writing.  At or about the time of the January 8               

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