Charles T. McCord, Jr. and Mary S. McCord, Donors - Page 11

                                       - 100 -                                        
          jurisdiction is properly invoked, the fair market value of any              
          property is what this Court determines it is, and a determination           
          relating to a charitable deduction pursuant to section 2522                 
          requires use of the Court’s fair market value of the transferred            
          property.  Our determination of fair market value is both fair              
          market value under gift tax principles and as finally determined            
          for Federal gift tax purposes.  Moreover, had petitioners’                  
          assignment agreement included the magical words “as finally                 
          determined for Federal gift tax purposes”, the majority assert              
          only that they “might have reached a different result.”  Majority           
          op. p. 63.                                                                  
               Fourth, the majority state:                                            
               There is simply no provision in the assignment                         
               agreement that contemplates the allocation of the                      
               gifted interest among the assignees based on some                      
               fixed value that might not be determined for several                   
               years.  Rather, the assignment agreement contemplates                  
               the allocation of the gifted interest based on the                     
               assignees’ best estimation of that value.  [Majority                   
               op. pp. 62-63.]                                                        

          The fact is, the assignment agreement effected the transfer of an           
          assignee interest.  Petitioners’ assignment agreement could not,            
          and does not, limit the Court’s ability to correctly determine              
          the fair market value of such interest.  Nor could the assignment           
          agreement mandate that the donees’ determination of fair market             
          value is conclusive and final for gift tax purposes.                        
               Finally, unlike respondent, who contends that the charitable           
          deduction is limited to the $338,967 CFT received in the                    





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Last modified: May 25, 2011