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a valuation of the full fee-simple interest in the property
transferred to the trust, not just the remainder interest, and
that Cyril had not received “adequate and full consideration” for
the full fee-simple interest. We relied on the holding in United
States v. Past, supra, that “adequate and full consideration”
must be given for the value of the entire property interest
transferred to the trust, not just the remainder interest. Id.
at 12. Alternatively, we indicated that even if the proper
measure of adequate and full consideration had been the remainder
interest, the estate had not established that Cyril had received
adequate and full consideration for the remainder interest.7 In
our prior opinion, we stated that the proper standard to apply in
7In a footnote, we stated:
Even if we were to hold that sec. 2036(a) requires
receipt of adequate and full consideration for only the
remainder interest, we would find that petitioner has
not met its burden of proving that the value of the
interest in Joseph’s stock that Cyril received equaled
the value of the remainder interest transferred. We
conclude, infra, that the value of the interest
received by Cyril is $43,878. The value of the
remainder interest transferred by Cyril is $42,000
according to * * * [the estate] and $122,997.64 under
respondent’s calculations. These values were
determined after the parties made certain posttrial
adjustments to their expert reports. Although we need
not determine the precise value of the remainder
interest transferred by Cyril, we conclude that it was
more than $43,878. This conclusion is based on the
evidence, including the expert witnesses’ opinions and
the values placed on JM and Specialty stock in gift and
estate tax returns filed by Cyril and Joseph between
1948 and 1953. [Estate of Magnin v. Commissioner, T.C.
Memo. 1996-25 n.12.]
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