- 60 -
Total NAV $17,673,760
Less: Class A preference (20,000)
“Net” NAV 17,653,760
1 percent of net NAV 176,538
Less: 15-percent minority
interest discount (26,481)
Marketable value 150,057
Less: 20-percent
marketability discount (30,011)
FMV of 1-percent interest 120,046
FMV of 41.16684918-percent 4,941,916
interest
VI. Charitable Contribution Deduction for Transfer to CFT
A. Introduction
The gift tax is imposed on the value of what the donor
transfers, not what the donee receives. Shepherd v.
Commissioner, 115 T.C. 376, 385 (2000) (citing, inter alia,
Robinette v. Helvering, 318 U.S. 184, 186 (1943)), affd. 283 F.3d
1258 (11th Cir. 2002). In essence, petitioners contend that
because (1) they transferred to CFT a portion of the gifted
interest corresponding to the excess of the fair market value of
that interest over $7,044,933, and (2) we have determined the
fair market value of the gifted interest to be $9,883,832, it
follows from the maxim beginning this paragraph that they are
entitled to a charitable contribution deduction in the amount of
$2,838,899 for their gift to CFT. Because the assignment
agreement does not equate the term “fair market value” with the
term “fair market value as finally determined for Federal gift
tax purposes,” petitioners’ argument must fail.
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