- 3 -
section 1341(a)(5) and (b),3 and (2) whether respondent may now
amend the answer to reduce the amount of the credit for State
death taxes that was determined in the notice of deficiency.
Respondent's Rule 155 computation uses the reduced credit in
computing the estate tax deficiency.
These cases were submitted fully stipulated. Neither party
alleges any factual dispute, and neither party argues that
additional evidence is necessary to resolve the computational
dispute. We shall summarize the relevant facts and our holdings
for each of the remaining computational issues.4
Section 1341 Credit
In 1970, decedent and her two aunts, Jessamine and Frankie
Allen, entered into oil and gas leases from which they derived
royalties during the years 1975 through 1980. Jessamine and
Frankie Allen died in 1979 and 1989, respectively, and decedent
served as the independent executrix of both their estates. Upon
Jessamine's death, decedent inherited a portion of Jessamine's
interest in the leased property. Upon Frankie's death, decedent
inherited all of Frankie's interest in the leased property,
including the remaining portion of Jessamine's interest which
Frankie had previously inherited.
3The amount of the resulting overpayment will be
determinative of the amount of a corresponding asset for estate
tax purposes.
4A more complete statement of facts is contained in our
previous opinion.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 Next
Last modified: May 25, 2011