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subchapter J, do not expressly claim the attribute of
exclusiveness, they are not regarded as having that attribute.12
Under various judicial, regulatory, and administrative
exceptions, certain assets in which a decedent had an interest
are excluded from the subchapter J estate. As a result, the
subchapter J distribution rules do not apply to their transfer or
receipt.13
In Petersen v. Commissioner, 35 T.C. 962 (1961), we held
that subchapter J distributions do not include income generated
by property held in joint and survivorship tenancies because the
decedent’s interest ceases to exist at death, supplanted by the
surviving joint tenant’s interest, leaving nothing for the estate
to administer. Id. at 967-968; see also Lang v. Commissioner,
289 U.S. 109, 110 (1933) (tenancy by the entirety); Edmonds v.
12 This is in contrast to secs. 671-679, found in subpart E
of subchapter J (concerning the income tax treatment of grantor
trusts), which are expressly granted the attribute of
exclusiveness by the last sentence of sec. 671. See H. Rept.
1337 83d Cong., 2d Sess. A212 (1954); sec. 1.671-1(c), Income Tax
Regs.
13 Secs. 661 and 662 also do not govern situations in which
those sections conflict with more specific Code sections in
subchapter J, such as section 691, concerning income in respect
of a decedent, Rollert Residuary Trust v. Commissioner, 80 T.C.
619 (1983), affd. 752 F.2d 1128 (6th Cir. 1985), section 682,
concerning income of an estate in cases of divorce, Kitch v.
Commissioner, 104 T.C. 1 (1995), affd. on other grounds 103 F.3d
104 (10th Cir. 1996), and section 642(c), concerning the
charitable deduction for estates and trusts, Mott v. United
States, 199 Ct. Cl. 127, 462 F.2d 512 (1972).
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