Estate of Manscill v. Commissioner
United States Tax Court
Decedent died testate. Petitioner claimed the surviving spouse had a qualifying income interest for life in property (QTIP) transferred from the decedent's estate into "Fund B". Decedent's will provides that the trustee of Fund B may, with the prior approval of decedent's widow, invade the corpus of Fund B "for the support" of decedent's daughter. Held, the trustee had the power to appoint part of the corpus of Fund B to someone other than the surviving spouse.
Read the full summary
Decedent died testate. Petitioner claimed the surviving spouse had a qualifying income interest for life in property (QTIP) transferred from the decedent's estate into "Fund B". Decedent's will provides that the trustee of Fund B may, with the prior approval of decedent's widow, invade the corpus of Fund B "for the support" of decedent's daughter. Held, the trustee had the power to appoint part of the corpus of Fund B to someone other than the surviving spouse. The surviving spouse does not have a qualifying income interest for life. Petitioner is not entitled to a marital deduction for the…
1Opinion of the Court
CHABOT, Judge:
Respondent determined a deficiency in Federal estate tax against petitioner in the amount of $302,732.
After a concession by petitioner, the issue for decision is whether “Fund B” established under decedent's will constitutes “qualified terminable interest property” (hereinafter sometimes referred to as QTIP), within the meaning of section 2056(b)(7)-(B),1 and thus is eligible for the marital deduction.
FINDINGS OF FACT
Some of the facts have been stipulated; the stipulation and the stipulated exhibits are incorporated herein by this reference.
When the petition was filed in the…
2Cases cited10 opinions
- New Colonial Ice Co. v. HelveringSupreme Court of the United States · 1934
- Commissioner v. Estate of BoschSupreme Court of the United States · 1967
- Jackson v. United StatesSupreme Court of the United States · 1964
- Estate of Milton S. Wycoff, Deceased, Zions First National Bank v. Commissioner of Internal RevenueCourt of Appeals for the First Circuit · 1974
- Rose Gelb, Victor Edwin Gelb, Manufacturers Trust Company, Executors, of the Estate of Harry Gelb v. Commissioner of Internal RevenueCourt of Appeals for the Second Circuit · 1962
5 more not listed; retrieve them via the Exa API.
3Cited by7 opinions
- Snap-Drape v. CommissionerUnited States Tax Court · 1995
- Magowan v. CommissionerUnited States Tax Court · 1994
- Clark v. CommissionerUnited States Tax Court · 1994
- Estate of Manscill v. CommissionerUnited States Tax Court · 1992
- GRIFFIN v. COMMISSIONERUnited States Tax Court · 1995
2 more not listed; retrieve them via the Exa API.