Estate of Belcher v. Commissioner
United States Tax Court
Decedent mailed checks to a number of charitable donees. The checks did not clear the drawee bank until after the date of decedent's death. Decedent's estate did not try to recover the proceeds of the checks from the donees. The aggregate amount of the checks is deductible as a charitable contribution for purposes of computing decedent's final income tax liability. Held, decedent's gross estate does not include the aggregate amount of the checks.
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Decedent mailed checks to a number of charitable donees. The checks did not clear the drawee bank until after the date of decedent's death. Decedent's estate did not try to recover the proceeds of the checks from the donees. The aggregate amount of the checks is deductible as a charitable contribution for purposes of computing decedent's final income tax liability. Held, decedent's gross estate does not include the aggregate amount of the checks. Secs. 2031, 2033, I.R.C. 1954; Estate of Spiegel v. Commissioner, 12 T.C. 524 (1949), applied.
1DissentChabot, J.
Although I agree that it would be satisfying to decide this case for petitioner, I reluctantly conclude that the law is otherwise. Respectfully, I dissent.
Regulation
The first sentence of section 20.2031-5, Estate Tax Regs., requires "cash belonging to the decedent at the date of his death, whether in his possession or in the possession of another, or deposited with a bank, [to be] included in the decedent’s gross estate.” The second sentence of this regulation provides an exception from this rule in the case of outstanding checks subsequently honored by the bank, but only if the checks are…
2Cases cited15 opinions
- United States v. DavisSupreme Court of the United States · 1962
- Fulman v. United StatesSupreme Court of the United States · 1978
- United States v. StapfSupreme Court of the United States · 1964
- Spiegel v. CommissionerUnited States Tax Court · 1949
- BBS Associates, Inc. v. CommissionerUnited States Tax Court · 1980
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