Estate of Floy M. Christensen - Page 10

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          decedent’s power to withdraw, which had not lapsed as of the date           
          of decedent’s death, was a general power of appointment that                
          should have been reported in Schedule H, Powers of Appointment,             
          of the estate tax return (Schedule H).  Consequently, respondent            
          increased decedent’s total gross estate and taxable estate by               
          $76,797, which is 5 percent times the value ($1,535,950.58) of              
          the trust as of the date of decedent’s death.                               
               The estate bears the burden of proving that the determina-             
          tions in the notice are erroneous.  See Rule 142(a);2 Welch v.              
          Helvering, 290 U.S. 111, 115 (1933).  That this case was submit-            
          ted fully stipulated does not change that burden or the effect of           
          a failure of proof.  See Rule 122(b); Borchers v. Commissioner,             
          95 T.C. 82, 91 (1990), affd. 943 F.2d 22 (8th Cir. 1991).                   
          November 1995 Checks and January 1996 Checks                                
               The parties’ dispute with respect to the November 1995                 
          checks and the January 1996 checks is whether the transfers of              
          funds represented by those checks constitute nontaxable gifts               
          made by decedent.  If they do not, the parties agree that the               
          amounts of funds withdrawn by those checks from the Seafirst                
          joint account are includible in decedent’s gross estate.                    

               2All Rule references are to the Tax Court Rules of Practice            
          and Procedure.  Unless otherwise indicated, all section refer-              
          ences are to the Internal Revenue Code in effect on the date of             
          decedent’s death.                                                           

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