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v. Commissioner. As this Court stated in Dowling v.
Commissioner, supra:
The rule regularly applied in such circumstances
is that where a ticket on a lottery is purchased
in the name of one of two persons and they agree
prior to the drawing to share any winnings, each
person is taxable only upon his agreed share
provided that the nominal owner in fact divides
the proceeds in accordance with their agreement,
even though the agreement be void and unenforce-
able. * * * [Dowling v. Commissioner, supra
(citations omitted).]
The facts in this case are that Mrs. Winkler did not
normally play games of chance, and she never purchased
Lotto tickets other than the family tickets purchased in
the presence of other family members. She purchased the
winning Lotto ticket as one of three "family tickets" on
March 4, 1989, while she was with her daughter, Charlotte.
She took the tickets home and placed them in a glass bowl
in the china cupboard, as was customary for family tickets.
Based upon the record in this case, we find that
Mrs. Winkler purchased the winning Lotto ticket on behalf
of the family partnership and not as her sole property. In
making this finding, we are mindful of Mrs. Winkler's gift
tax return in which she took the position that she made
gifts to her children of the value of the ticket prior to
the time it was determined to be the winner (i.e., $.10 to
each child). However, we accept Mrs. Winkler's testimony,
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