Estate of Sylvia Gore, Donor, Deceased, Pamela Powell, Personal Representative - Page 66




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          Commissioner, T.C. Memo. 2005-65; Estate of Stone v.                        
          Commissioner, T.C. Memo. 2003-309.                                          
               Petitioner asserts that decedent’s only interest in the                
          transferred assets was as a beneficiary of the Sylvia Gore                  
          Revocable Trust, which held a 32.667-percent limited partnership            
          interest in GFLP.  Because GFLP is a separate legal entity formed           
          in compliance with Oklahoma law, petitioner argues that decedent            
          relinquished all control, possession, enjoyment, or right to                
          income upon the alleged transfer of the Marital Fund assets to              
          GFLP.  Petitioner argues that decedent retained no benefit or               
          control over the assets and that TCO controlled or managed the              
          GFLP assets during decedent’s life.  Additionally, petitioner               
          argues that decedent did not execute or contemplate an agreement            
          reserving any control of the transferred assets.                            
               Decedent, however, did not part with possession or enjoyment           
          of the property purportedly transferred to GFLP.  At the time of            
          decedent’s death, GFLP did not hold title to any of the Marital             
          Fund assets.  From its formation until the date of decedent’s               
          death, GFLP did not engage in any business or investment                    
          activity.  Only after decedent’s death and long after GFLP’s                
          formation were accounting records created purporting to show that           
          decedent transferred a series of Marital Fund assets to GFLP.51             

               51Accounting manipulations occurring after decedent’s death            
          cannot refute the existence of an implied agreement permitting              
                                                             (continued...)           





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