Estate of Fried v. Commissioner
United States Tax Court
Held: 1. Decedent's estate is not entitled to the marital deduction for personal property passing under a provision of a will, which is construed under the law of the State of New York, that in the event his wife survives him but dies before the probate of his will, the property is bequeathed to his daughter. 2. An amount of $ 5,000 which a corporation formed by decedent and his brother paid to decedent's widow is includable in decedent's estate under sec. 2037, I.R.C. 1954,…
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Held: 1. Decedent's estate is not entitled to the marital deduction for personal property passing under a provision of a will, which is construed under the law of the State of New York, that in the event his wife survives him but dies before the probate of his will, the property is bequeathed to his daughter. 2. An amount of $ 5,000 which a corporation formed by decedent and his brother paid to decedent's widow is includable in decedent's estate under sec. 2037, I.R.C. 1954, since the facts show consideration passing from the decedent to the corporation to procure the agreement for the…
1Opinion of the Court
OPINION
The major issue in this case is whether the estate is entitled to a marital deduction under section 2056, I.R.C. 1954,1 in excess of the amount allowed by respondent. Both parties recognize that this issue depends in its entirety on whether the bequest by decedent to his wife of his residual estate is a terminable interest within the meaning of section 2056(b).2 This, in turn, depends upon the construction of the decedent’s will, particularly with reference to subparagraph (B) of the second paragraph thereof. The provision contained in this paragraph which is crucial to our decision is:
2Cases cited31 opinions
- Helvering v. HallockSupreme Court of the United States · 1940
- Chase National Bank v. United StatesSupreme Court of the United States · 1929
- Lehman v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1940
- Fusz v. CommissionerUnited States Tax Court · 1966
- Bankers Trust Company, as of the Will of Harriet Delta Ellis, Deceased v. United StatesCourt of Appeals for the Second Circuit · 1960
26 more not listed; retrieve them via the Exa API.
3Cited by22 opinions
- Estate of Sachs v. CommissionerUnited States Tax Court · 1987
- Estate of Bogley v. United StatesUnited States Court of Claims · 1975
- In Re Estate of Harry Fried, Deceased. Ethel Fried v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1971
- Estate of Simmie v. CommissionerUnited States Tax Court · 1978
- Estate of Goldwater v. Comm'rUnited States Tax Court · 1975
17 more not listed; retrieve them via the Exa API.