Section 2053 of the Internal Revenue Code allows the executor to deduct from the gross estate amounts attributable to expenses, indebtedness, and taxes. This Note will examine problems currently confronting an executor who is attempting to utilize the 2053 deduction. The first problem examined in this Note is the conflict in the federal courts of appeals regarding the deductibility of expenses incurred as a result of a sale of decedent's property. The statute,cases, and regulations in this area will be examined, and a suggested approach for the executor encountering this problem will be provided. The second problem considered is the deductibility of interest incurred to obtain a deferral of estate taxes. Recent Revenue Rulings and cases will be examined in an attempt to ascertain the deductibility of the interest expense under section 2053. Again, a suggested resolution to the problem will be provided. The third problem concerns the validity of recent Revenue Rulings requiring the filing of all claims against the estate in the probate court in order to deduct the claims under section 2053. The ramifications of these rulings in Tennessee and under the Uniform Probate Code will be considered, and recommendations will be provided for the executor.
Jay D. Christiansen,
Current Problems Facing the Executor Taking the Section 2053 Estate Tax Deduction,
30 Vanderbilt Law Review
Available at: https://scholarship.law.vanderbilt.edu/vlr/vol30/iss4/4