Estate of Deaver

KELTON, Senior Judge.

The estate of Elmer Deaver (Estate) appeals from the October 27, 1994 order of the Orphans’ Court of Common Pleas of Montgomery County (trial court), dismissing the Estate’s appeal from the Department of Revenue’s notice of appraisement of transfer inheritance tax.1 We reverse.

The issue before us is: when computing the inheritance tax due on a remainder interest of a marital trust, at the time the right of possession accrues to the owner, whether estate taxes paid out of the assets supporting the marital trust should be included in the value of the remainder estate?

The…