- 26 - Rev. Rul. 64-101, 1964-1 C.B. (Part 1) at 78, also cited similarities in “purpose and effect” between statutory dower and temporary family support allowances payable from corpus, which were excluded from the subchapter J estate under section 1.661(a)-2(e), Income Tax Regs., at the time Rev. Rul. 64-101, 1964-1 C.B. (Part 1) 77, was published. However, Estate of McCoy v. Commissioner, 50 T.C. 562 (1968), held invalid that portion of section 1.661(a)-2(e), Income Tax Regs., and the regulation was accordingly modified.17 Nevertheless, in modifying the portion of the regulation dealing with family support allowances, the Commissioner did not retract support for the exclusion of statutory dower from the subchapter J estate on the ground of its legal similarity to real property whose title directly vests in a 16(...continued) obviously does not rely upon that reading inasmuch as it relies upon the similarity of statutory dower to real property, passage of title to which is subject to debts secured by mortgages and other liens. 17 Under sec. 1.661(a)-2(e), Income Tax Regs., as it currently reads, temporary family and surviving spouse support allowances, whether payable from income or corpus under local law, are included in a beneficiary's gross income as second tier distributions. Secs. 1.662(a)-2(e), 1.662(a)-3(b), Income Tax Regs. But see Ferguson et al., supra sec. 6.10 at 6:19, which distinguishes between statutory nonvested family support allowances, which may be awarded at the discretion of the presiding court, Estate of Cunha v. Commissioner, 279 F.2d 292, 297 (9th Cir. 1960), affg. 30 T.C. 812 (1958), and are included in subchapter J distributions, and vested family support allowances, which are excluded.Page: Previous 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 Next
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