Succession of Oliver

SCHOTT, Chief Judge.

The Secretary of the Department of Revenue and Taxation for the State of Louisiana has appealed from a judgment recognizing W.C. Percy, Jr. and Christine Percy Howard, who are a nephew and a niece by affinity of the decedent, as entitled to the favorable inheritance tax treatment afforded collateral relatives. Appellees were the blood relatives of decedent’s husband who predeceased her.

LSA R.S. 47:2402 provides for the following exemption from inheritance tax:

“(2) Inheritances, legacies and donations and gifts made in contemplation of death to a collateral relation of…