John F. White, Administrator D.B.N., C.T.A., of the Estate of Theodore N. Townsend, Deceased v. United States

BAUER, Circuit Judge.

This tax refund suit concerns the federal estate tax consequences of decedent Theo dore N. Townsend’s failure to mention his general power of appointment over certain trust assets in his will. The district court granted summary judgment in favor of decedent’s estate, concluding that the Internal Revenue Service (IRS) erroneously included the trust-assets’ value in Townsend’s estate. White v. United States, 511 F.Supp. 570 (S.D.Ind.1981). The United States now appeals. We affirm.

I

Settlor-donor Charlotte K. Townsend, a resident of Le Roy, New York, established several…