-5-
the deficiency were made as follows: $7,000 on April 22, 1982;
$4,537 on December 27, 1990; and $186 on January 17, 1991.
The Estate made the following disbursements during the years
1976-1990:
Disbursements Disbursements Disbursements
Total To Ms. To To
Disbursements Gardiner1 Petitioner IRS
1976 $156,265 $14,678 $3,500 ---
1977 103,894 56,500 3,000 ---
1978 14,395 --- 1,000 $9,176
1979 14,723 --- --- ---
1980 1,616 --- 1,600 ---
1981 24 --- --- ---
1982 16,503 9,503 --- 7,000
1986 6,000 6,000 --- ---
1988 10 --- --- ---
1990 10,890 --- 5,800 4,537
1 Except for a $50,000 payment to Ms. Gardiner in
1977, the payments to her were characterized on the
Estate’s final accounting statement as fees.
Sometime after 1981, Ms. Gardiner suffered severe financial and
physical difficulties; at the time of trial, she was comatose in a
nursing home in North Carolina. The IRS made no attempt to collect
the deficiency, interest, or penalty from Ms. Gardiner.
OPINION
The executor of an estate has the ultimate responsibility for
payment of the Federal estate tax. Sec. 2002. If the executor
pays the debts of the estate, or distributes any portion of the
estate to a beneficiary, before satisfying the estate’s obligation
to the Government for estate taxes, then the executor is personally
liable, to the extent of the payment to the estate’s creditors or
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