Donald G. and Beverly J. Oren - Page 4




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          nonvoting stock, was owned by the following parties and in the              
          following percentages:                                                      
                                   Common Stock Ownership Percentage                  
               Owners                   1993      1994      1995                      
               Donald G. Oren      74.94%    54.95%    54.95%                         
               Beverly J. Oren          6.33      6.33      6.33                      
               David Oren               0.26      5.25      5.25                      
               Daniel Oren              0.26      5.25      5.25                      
               Bradley Oren             0.26      5.25      5.25                      
               Angela Oren              0.26      5.25      5.25                      
               Trust for David Oren     4.43      4.43      4.43                      
               Trust for Daniel Oren    4.43      4.43      4.43                      
               Trust for Bradley Oren   4.43      4.43      4.43                      
               Trust for Angela Oren    4.43      4.43      4.43                      
          David, Daniel, Bradley, and Angela Oren are petitioners’                    
          children.  In 1992, David was age 34; Daniel was 32; Bradley was            
          27; and Angela was 14.  The trusts owning stock in Dart were all            
          qualified subchapter S trusts under section 1361(d)(1)(B).  The             
          trusts were irrevocable, and all rights incident to the ownership           
          of the stock were exercised by trustees.  None of the trustees              
          were employed by or held shares in any of the trucking companies;           
          the trustees were in all respects independent.  Dart elected to             
          be taxed under subchapter S of the Code for taxable years 1993,             
          1994, and 1995.2  See sec. 1362(a).                                         
              Mr. Oren testified that he and his wife attended seminars on           
          estate planning and made estate planning one of their top                   
          business priorities.  As a result, Mr. and Mrs. Oren engaged in a           


               2Dart was formerly a C corporation and still had accumulated           
          earnings and profits in 1993, 1994, and 1995, attributable to its           
          C corporation existence.                                                    




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