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advanced by the Commissioner may at times have been rejected as
insufficient for inclusion under either paragraph of section
2036(a). See Estate of Beckwith v. Commissioner, supra at 248-
251. Nonetheless, we are firmly convinced that the cases which
deal with retained “possession or enjoyment” of a residence for
purposes of section 2036(a)(1), which the estate’s cited cases do
not, establish the relevant standards and must govern our
decision here. Accordingly, the estate’s reliance on these
legally and factually distinguishable opinions is misplaced.
Therefore, in light of all the facts and circumstances
present in this case, we hold that decedent retained possession
and enjoyment of the condominium within the meaning of section
2036(a)(1). The value of the condominium must be included in her
gross estate.
II. Valuation of the Condominium
Regulations promulgated under section 2036 provide the
following with regard to the value to be included in the gross
estate pursuant to that statute:
If the decedent retained or reserved an interest or
right with respect to all of the property transferred
by him, the amount to be included in his gross estate
under section 2036 is the value of the entire property,
less only the value of any outstanding income interest
which is not subject to the decedent’s interest or
right and which is actually being enjoyed by another
person at the time of the decedent’s death. If the
decedent retained or reserved an interest or right with
respect to a part only of the property transferred by
him, the amount to be included in his gross estate
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