- 25 - 1989-675). Decedent had not yet been appointed personal representative of Mrs. Chamberlain's estate when he prepared Exhibit 5-E. Although decedent was the personal representative of Mrs. Chamberlain's estate when he signed the Probate Inventory, as discussed supra, the Probate Inventory could have no operative effect as a disclaimer by decedent in his own right, inasmuch as he signed it in a fiduciary capacity. II. State Law Compliance Prior to enactment of section 2518 by the Tax Reform Act of 1976, Pub. L. 94-455, sec. 2009(b)(1), 90 Stat. 1893, the tax consequences of an effective disclaimer were prescribed under several Code sections.6 These sections did not provide definitive rules as to what constituted a disclaimer for Federal estate, gift, or generation skipping transfer tax purposes ("Federal transfer taxes"); they relied in part on local law to determine whether a valid disclaimer had been made. See Fuller v. Commissioner, 37 T.C. 147 (1961). As a result, the Federal tax consequences of a disclaimer could depend on its treatment under local law and on the type of transfer tax being imposed. See H. Rept. 94-1380, supra at 66. Congress enacted section 2518 6 See, e.g., secs. 2041(a)(2), 2514(b) (disclaimers of general powers of appointment); secs. 2055(a) and 2056(d) (estate tax charitable and marital deduction provisions); sec. 25.2511- 1(c), Gift Tax Regs. (disclaimer must comply with local law in order to be valid for gift tax purposes).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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