110 T.C. No. 14
UNITED STATES TAX COURT
THERESE HAHN, Petitioner v.
COMMISSIONER OF INTERNAL REVENUE, Respondent
Docket No. 17210-96. Filed March 4, 1998.
P and her husband (H) purchased property in 1972
as joint tenants with right of survivorship. P became
the sole owner of the property upon H's death in 1991.
H's Federal Estate Tax Return reported 100 percent of
the date of death value of the property as H's interest
therein. P sold the property in 1993 and, pursuant to
secs. 2040(a) and 1014(b)(9), I.R.C., included 100
percent of the date of death value of the property in
calculating her basis. R determined that, because H
died after Dec. 31, 1981, pursuant to sec. 2040(b)(1),
I.R.C., only 50 percent of the date of death value of
the property was required to be included in H's gross
estate and, pursuant to sec. 1014(b)(9), I.R.C., P
should receive a step-up in basis for only 50 percent
of the value of the property.
Held: Amendment to definition of "qualified joint
interest" in sec. 2040(b)(2), I.R.C., did not expressly
or impliedly repeal effective date of 50-percent
inclusion rule of sec. 2040(b)(1), I.R.C., which
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