Estate of Edward P. Roski, Sr., Deceased, Edward P. Roski, Jr., Executor - Page 8

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          determining not to exercise his discretion to allow an election             
          under section 6166.  The estate also alleges that respondent                
          erred by requiring the estate to provide a bond or a special lien           
          in order to qualify for the election.  The estate argues that               
          such a requirement was without basis in law, was arbitrary and              
          capricious, and constituted an abuse of discretion.                         
               Respondent moved for summary judgment, arguing that section            
          7479 does not give this Court jurisdiction to review respondent’s           
          denial of the section 6166 election because of the estate’s                 
          failure to fulfill respondent’s prerequisite of a bond or a                 
          special lien under section 6324A.  The estate objected to                   
          respondent’s motion and filed a cross-motion for summary judgment           
          arguing that:  (1) Respondent’s refusal to exercise his                     
          discretion by requiring a bond in every case is an abuse of                 
          discretion; and (2) the undisputed facts establish that if                  
          respondent had properly exercised his discretion, no bond or                
          special lien should have been required.                                     
          I.   Background of the Relevant Statutes                                    
               A.   Installment Payment Election                                      
               In general, Federal estate tax is due within 9 months of a             
          decedent’s death.  Sec. 6075(a).  Under section 6166(a)(1), a               
          qualifying estate may elect to pay the estate tax in installments           
          over an extended period.  Section 6166(a) provides:                         

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Last modified: November 10, 2007