Lazar Estate

Opinion by

Mr. Justice Cohen,

In this action we are called upon to decide whether the payment of $150,000 in compromise of a disputed claim is a taxable transfer under the Inheritance and Estate Tax Act of 1961, P. L. 373, Art. YI, 72 P.S. §2485-632.

The relevant facts are as follows. Décedent, Lena G. Lazar (Lena) and Milton C. Lazar (Milton), were married in 1903 and remained married and without issue until his death on September 4,1947. By written agreement dated May 18, 1947 Milton agreed to main*173tain as Ms last will and testament Ms then existing will which bequeathed his entire estate to…