Epstein Secrets

erts and their written reports, and we are satisfied beyond cavil that they considered and correctly weighed all factors and characteristics of the Elkins heirs when determining how much a hypothetical willing buyer would pay for Decedent's fractional interests and thus become a co- owner with them."

t: The FMV Valuation Alert - Estate of Elkins I Please click here if you cannot view this page. cti Fifth Circuit Overturns Tax Court Decision in Elkins (Estate of Elkins)(1 ) By Lance S. Hall, ASA! In March of 2013, the Tax Court in Estate of Elkins determined that undivided interests in 64 works

t the family loved the art and wanted to keep it in the family. Accordingly, the Court surmised that the other family members would want to buy the Decedent's undivided interests at full pro rata, and undiscounted, value of each of the 64 works of art. The fact that "fair market value" dictates a "hypoth

ts...." As you can read in the above quotes from the Fifth Circuit, this was a complete rejection of the Tax Court's valuation discount decision in Elkins. As a sop to the Judge in Elkins, the Fifth Circuit stated, "We are never comfortable in disagreeing with, much less reversing, a jurist of the expe

considered the co-tenant agreement in its overturning of the Tax Court's conclusions. This author has previously faulted the Tax Court's decision in Elkins because the Tax Court failed to consider the exceptions to Section 2703(a) found in Section 2703(b). The co-tenant agreement appeared to qualify un

d at the cost of more time and money to the parties." "[We] hold that the correct quantums of the fractional-ownership discounts applicable to the Decedent's pro rata share of the stipulated FMVs of the various works of art are those determined by the Estate's experts...." As you can read in the above

of the taxable value of the an. The gist of Mrs. Sasser's responses to questions on direct. on cross. and from the court. was that she and the other Elkins heirs arc strongly attached to the art work. largely sentimentally: that they do not view those works as business assets. primarily because they si

d, five of whom were tendered as experts. three by the Estate and two by the Commissioner. Thc lone non-expert witness was Mrs. Leslie Keith Sasser, Decedent's daughter and co-executor. EFTA_R1_02210775 EFTA02724152 ° The Estate's petition included additional retlind claims that turn on the valuation o