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appropriate standard for valuation purposes8 and agreed that the
valuation determination in the notice of deficiency is entitled
to a presumption of correctness. See id. However, the Court of
Appeals held that the previously mentioned footnote in our prior
opinion did not provide sufficient analysis for it to review
whether Cyril received less than adequate and full consideration
pursuant to the October 31, 1951, agreement and instructed us to
explain how we determined the value of the consideration that
Cyril transferred and received. See id. The Court of Appeals
remanded the case for findings that explain how we determined the
values of the respective property interests both transferred and
received by Cyril. See id.
OPINION
A decedent’s gross estate generally includes the value of
all property interests transferred by the decedent during his
life in which he retained for his life the right to the
possession, enjoyment, or income from the property. See sec.
2036(a).9 However, if the property interest transferred by the
8In our prior opinion, we held that the value of what Cyril
received should be determined by ascertaining “the price at which
the property would change hands between a willing buyer and a
willing seller, neither being under any compulsion to buy or to
sell and both having reasonable knowledge of relevant facts.”
Estate of Magnin v. Commissioner, T.C. Memo. 1996-25; sec.
20.2031-1(b), Estate Tax Regs.
9Sec. 2036(a) provides, in pertinent part:
(continued...)
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