-12-
20-year term of the Trust and, if Hamilton survives that term,
she has the right to any trust property then remaining. She thus
has a contingent-remainder interest in the Trust’s property.7
Hamilton did not disclaim this contingent remainder, which
makes her disclaimer a “partial disclaimer.” The Code and
regulations’ treatment of partial disclaimers is quite complex,
so we begin our analysis with some background on estate-tax
deductions, followed by a close reading of the regulation
governing partial disclaimers, its exceptions, and the effect of
the savings clause on Hamilton’s disclaimer.
A. Deductions and Disclaimers Under the Estate Tax
The Code taxes the transfer of the taxable estate of any
decedent who is a U.S. citizen or resident. Sec. 2001(a). The
taxable estate is the value of the decedent’s gross estate less
applicable deductions. Secs. 2031(a) and 2051. A deduction for
bequests made to charitable organizations is one of the
deductions allowed in calculating a decedent’s taxable estate.
Sec. 2055(a)(2). But Christiansen did not bequeath any of her
7 We need not decide whether the burden of proof shifts to
respondent under section 7491(a) because the case is mostly
determined by applying the law to undisputed facts. Where there
were disputed facts, both parties met their burden of production,
and findings were based on a preponderance of the evidence. See
Deskins v. Commissioner, 87 T.C. 305, 322-23 n.17 (1986); Payne
v. Commissioner, T.C. Memo. 2003-90. Both parties “have
satisfied their burden of production by offering some evidence,
* * * [so] the party supported by the weight of the evidence will
prevail.” Blodgett v. Commissioner, 394 F.3d 1030, 1039 (8th
Cir. 2005), affg. T.C. Memo. 2003-212.
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