Estate of Algerine Allen Smith, Deceased, James Allen Smith, Executor - Page 57

                                       - 57 -                                         
               GOEKE, J., dissenting:  The opinion adopted today reaches an           
          unjust result, reasoning that the principle of finality requires            
          that result.  The estate and respondent entered into agreed Rule            
          155 computations and submitted the computations to this Court               
          with a suggested decision document.  The agreed computations                
          clearly treat the overpayment of tax as an amount separate from             
          the interest owed by the estate.  In arriving at the overpayment            
          amount of $238,847.24, the parties simply subtracted the estate’s           
          tax liability ($385,747.17) from its payments that were applied             
          to the tax liability ($624,594.41).  Indeed, the agreed                     
          computations include a chart that lists tax in one column, and              
          interest in a separate column.  See majority op. p. 6.  These               
          computations reveal the parties’ intent not to include interest             
          in the overpayment amount.                                                  
               It is obvious from the computations that the separate                  
          treatment of interest and tax was not an accident.  Included in             
          the parties’ agreed computations is the following information:              
               Total interest due . . . . . . . .   $209,943.541                      
               Interest paid  . . . . . . . . . .  -$144,947.89                       
               Interest not paid for which the                                        
                estate was given a deduction . .    $64,995.65                       
               1 The amount of total interest due was determined in                   
          reference to the estate’s tax liability of $385,747.17.                     
          The estate is provided an interest deduction for interest on its            
          estate tax deficiency in the agreed computations, but the                   
          overpayment computation does not take into account that interest.           






Page:  Previous  47  48  49  50  51  52  53  54  55  56  57  58  59  60  61  62  63  64  65  66  Next

Last modified: May 25, 2011