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entitled to tax benefit resulting from sale of capital asset);
McKee v. Commissioner, 35 B.T.A. 239, 242 (1937) (trustees who
realized tax savings by selling, rather than redeeming, matured
bonds acted in the best interests of the trusts). We do not
substitute our judgment for decisions of the executors to
complete the restructuring in January 1999. See Estate of Todd
v. Commissioner, 57 T.C. 288 (1971); Estate of Thompson v.
Commissioner, T.C. Memo. 1998-325; McKee v. Commissioner, T.C.
Memo. 1996-362; Estate of Sturgis v. Commissioner, T.C. Memo.
1987-415.
Second, the executors did not foresee the decrease in Gilman
Building Products’ annual net positive cashflow from more than
$40 million per year in years before 2000 to $3.5 million in
2000. The decline in Gilman Building Products’ financial
condition contributed to HG’s inability to pay the estate nearly
$23 million of interest due in 2002. In light of the unforeseen
decline in Gilman Building Products’ financial condition and HG’s
and its subsidiaries’ inability to fully pay interest due on the
notes in 2002, it was necessary for the estate to borrow funds in
2002.
6. Whether the Farm Credit Loan Was Unnecessary Because
the Executors Had Elected To Pay Estate Tax in 10
Annual Installments
The executors elected on April 1, 1999, to pay Federal and
New York estate taxes in 10 annual installments beginning in
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