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the transitional rule is explicit. The transitional rule precludes
the unlimited marital deduction provided with the enactment of ERTA
to an estate where: (1) The will containing a maximum marital
deduction formula clause was executed prior to the enactment of
ERTA; (2) the formula clause was not amended at any time after
September 12, 1981, to refer specifically to an unlimited marital
deduction; and (3) there is not enacted a State law applicable to
the estate which would construe the formula clause as referring to
the unlimited marital deduction. Here, each of the aforementioned
situations is applicable. The maximum marital deduction formula
clause contained in article four, paragraph A, of decedent's will
is precisely the type of formula clause addressed by the
transitional rule. See Estate of Christmas v. Commissioner, 91
T.C. 769 (1988); Estate of Bauersfeld v. Commissioner, T.C. Memo.
1988-224; cf. Estate of Levitt v. Commissioner, 95 T.C. 289 (1990).
We hold that the amount of the marital deduction available to
petitioner is limited to the amount available prior to the
enactment of ERTA. Because in the instant case (1) the
transitional rule does apply, (2) respondent acknowledges that
petitioner is entitled to a marital deduction for the property
funding the Part A trust, and (3) the value of the property funding
the Part A trust is such as to entitle petitioner to the maximum
pre-ERTA marital deduction, we need not decide whether the Part B
trust property qualifies for QTIP treatment. Nonetheless, for the
sake of completeness we shall address this matter.
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