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held at her death.1 The parties disagree as to the highest and
best use of DP on the valuation date and the method to value DP.
We hold that the highest and best use for DP was a mixed use of
recreation purposes and timber management. We further hold that
the fair market value of DP on the valuation date was $4,829,252.
FINDINGS OF FACT
Some of the facts have been stipulated and are so found.
The stipulation of facts is incorporated herein by this
reference.
1 The estate filed a sec. 2032A protective election with its
estate tax return. The estate has indicated its intent to
perfect this protective election by filing an additional notice
of election if we determine the value of DP to be greater than
the amount it asserted at trial. Respondent has indicated his
intent to deny any such attempt. This dispute raises the
question of when the 60-day period begins to run for the estate
to file a notice of election, and turns on the phrase “as finally
determined” in sec. 20.2032A-8(b), Estate Tax Regs.
Specifically, respondent argues that the value finally determined
is his determination in the notice of deficiency, and the estate
argues that it is this Court’s determination of the property’s
value. This issue will be addressed only if the estate files an
additional notice of election and respondent denies the estate’s
filing. An appropriate order will be issued addressing these
contingencies.
Unless otherwise indicated, all section references are to
the Internal Revenue Code in effect as of the date of decedent’s
death, and all Rule references are to the Tax Court Rules of
Practice and Procedure.
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