Holman v. Commissioner

Because I would reverse the Tax Court’s applications of I.R.C. § 2703’s property valuation rules and Treasury Regulation § 25.2512-1’s willing buyer/willing seller test, I respectfully dissent.

I. I.R.C. § 2703

I.R.C. § 2703(a)(2) provides that the value of any property shall be determined without regard to “any restriction on the right to sell or use such property.” As an exception to this general rule, § 2703(b) provides that a restriction is considered for property valuation purposes if it meets each of the following requirements:(1) It is a bona fide business arrangement.(2) It is not a…