Estate of Ralph M. Nix, Sr., Deceased, Ralph M. Nix, Jr., Personal Representative - Page 6

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            bequest, which is to be an amount that will take advantage of the                          
            unified credit and any other estate tax credit available to                                
            petitioner.  (We shall refer to this sheltered amount as the                               
            credit equivalent.)  Petitioner argues that since the disclaimed                           
            property was in an amount less than the credit equivalent, the                             
            disclaimer had no effect upon the amount of the pecuniary marital                          
            devise or upon the marital deduction.                                                      
                  In general, section 2056(a) provides, in pertinent part, as                          
            follows:                                                                                   
                  the value of the taxable estate shall * * * be determined by                         
                  deducting from the value of the gross estate an amount equal                         
                  to the value of any interest in property which passes or has                         
                  passed from the decedent to his surviving spouse, but only                           
                  to the extent that such interest is included in determining                          
                  the value of the gross estate.                                                       
            If a surviving spouse disclaims an interest in property passing                            
            to such spouse from a decedent, the efficacy of the disclaimer                             
            will be determined by section 2518 and the corresponding                                   
            regulations.  Sec. 20.2056(d)-1, Estate Tax Regs.  Under section                           
            2518, if a qualified disclaimer is determined to have been made                            
            by the surviving spouse, then for purposes of subtitle B--dealing                          
            with estate and gift taxes--the property interest disclaimed is                            
            treated as if it had never been transferred to the surviving                               
            spouse.  Sec. 2518(a); sec. 25.2518-1(b), Gift Tax Regs.; see                              










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