Shepherd v. Commissioner
United States Tax Court
P transferred to a newly formed family partnership, of which P is 50-percent owner and his two sons are each 25-percent owners, (1) P's fee interest in timberland subject to a long- term timber lease and (2) stocks in three banks. HELD: P's transfers represent separate indirect gifts to his sons of 25 percent undivided interests in the leased timberland and stocks. Held, further, the fair market value of petitioner's gifts determined.
1Opinion of the Court
Thornton, Judge:
Respondent determined a $168,577 deficiency in petitioner’s Federal gift tax for calendar year 1991. The issues for decision are: (1) The characterization, for gift tax purposes, of petitioner’s transfers of certain real estate and stock into a family partnership of which petitioner is 50-percent owner and his two sons are each 25-percent owners; (2) the fair market value of the transferred real estate interests; and (3) the amount, if any, of discounts for fractional or minority interests and lack of marketability that should be recognized in valuing the transferred interests…
2Cases cited30 opinions
- Aquilino v. United StatesSupreme Court of the United States · 1960
- Helvering v. National Grocery Co.Supreme Court of the United States · 1938
- United States v. CartwrightSupreme Court of the United States · 1973
- Burnet v. GuggenheimSupreme Court of the United States · 1933
- Lewis Thurston Anderson and Clyde Velma Anderson, Lewis Thurston Anderson v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 1957
25 more not listed; retrieve them via the Exa API.
3Cited by49 opinions
- Rauenhorst v. Comm'rUnited States Tax Court · 2002
- Leon S. Malachinski v. Commissioner of Internal RevenueCourt of Appeals for the Seventh Circuit · 2001
- J. C. Shepherd v. Comr. of IRSCourt of Appeals for the Eleventh Circuit · 2002
- Estate of Strangi v. CommissionerUnited States Tax Court · 2000
- Holman v. Comm'rUnited States Tax Court · 2008
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