ESTATE OF DAVIS v. COMMISSIONER
United States Tax Court
HELD: In determining the fair market value on a valuation date after the repeal of the doctrine established in General Utils. & Operating Co. v. Helvering, 296 U.S. 200, 80 L. Ed. 154, 56 S. Ct. 185 (1935), of each of two minority blocks of common stock of company A, the Court is not precluded on the record presented from giving consideration to A's built-in capital gains tax as of that date of about $ 26.7 million.
Read the full summary
HELD: In determining the fair market value on a valuation date after the repeal of the doctrine established in General Utils. & Operating Co. v. Helvering, 296 U.S. 200, 80 L. Ed. 154, 56 S. Ct. 185 (1935), of each of two minority blocks of common stock of company A, the Court is not precluded on the record presented from giving consideration to A's built-in capital gains tax as of that date of about $ 26.7 million. HELD, FURTHER, the fair market value on the valuation date of each block of stock at issue is $ 10,338,725, determined by first ascertaining A's net asset value on that date…
1Opinion of the Court
Chiechi, Judge:
Respondent determined a deficiency of $5,283,894 in the Federal gift tax of Artemus D. Davis (decedent) who died on June 11, 1995, after he made the two gifts to which that deficiency pertains. The sole issue for decision is the fair market value on November 2, 1992, of each of two blocks of 25 shares of common stock of A.D.D. Investment & Cattle Co. (addi&c), one of which decedent gave to his son Robert D. Davis (Robert Davis) and the other of which decedent gave to his son Lee W. Davis (Lee Davis).
FINDINGS OF FACT
Some of the facts have been stipulated and are so found.
Decedent…
2Cases cited33 opinions
- Burton-Sutton Oil Co. v. CommissionerSupreme Court of the United States · 1946
- General Utilities & Operating Co. v. HelveringSupreme Court of the United States · 1935
- Buffalo Tool & Die Mfg. Co. v. CommissionerUnited States Tax Court · 1980
- Seymour Silverman v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1976
- Parker v. CommissionerUnited States Tax Court · 1986
28 more not listed; retrieve them via the Exa API.
3Cited by69 opinions
- John David Smith, of the Estate of Louis R. Smith, Deceased v. United StatesCourt of Appeals for the Fifth Circuit · 2004
- Shepherd v. CommissionerUnited States Tax Court · 2000
- Leon S. Malachinski v. Commissioner of Internal RevenueCourt of Appeals for the Seventh Circuit · 2001
- Estate of Helen Bolton Jameson, Deceased, Northern Trust Bank of Texas, N.A., Independent v. Commissioner of Internal RevenueCourt of Appeals for the Fifth Circuit · 2001
- Estate of Jelke v. CommissionerCourt of Appeals for the Eleventh Circuit · 2007
64 more not listed; retrieve them via the Exa API.