Payment to Estate Partly for Decedent's Services

Business Valuation UpdateVol. 2 No. 8
Legal and Court Case Update
August 1996
8111 Legal Services
541110 Offices of Lawyers
estate and gift taxation
shareholder agreement, control

Estate of Cartwright v. Commissioner
T.C. Memo 1996-286, 1996 Tax Ct. Memo LEXIS 299
June 20, 1996
Federal Court
United States Tax Court
Herbert T. Spiro (for respondent) <br>Alan W. Johnson (for petitioner)


Decedent owned 71.43% of the stock of a law firm (CSB) that specialized in personal injury law, with earnings based on contingent fees.

See Also

Estate of Cartwright v. Commissioner

At issue is whether life insurance proceeds were paid to decedent's estate solely to redeem his CSB stock, as petitioner contends, or partly for his CSB stock and partly for any claims for cases or work in process, as respondent contends.