Estate Not Allowed a Deduction for Unpaid Gift Tax Related to a Net Gift 

Ed Zollars summarizes Estate of Sheldon Summers, where the Tax Court disallowed a deduction for unpaid gift tax related to a net gift.  Ed Zollars’ summary begins as follows:

When a taxpayer has made a “net gift” within three years of the taxpayer’s death, how is that gift handled for purposes of the “gross up” rule for such gifts found in IRC §2035(a) and (b)?  In the case of Estate of Sommers v. Commissioner, 149 TC No. 8, the taxpayer argued that the estate should be allowed a deduction on the Form 706 for the gift tax that was paid by the donors.

See full summary at: Estate Not Allowed a Deduction for Unpaid Gift Tax Related to a Net Gift — Current Federal Tax Developments

Posted by Lewis J. Saret, Co-General Editor, Wealth Strategies Journal.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s