.
693~-- -
OFFICE OF THE ATTORNEY GENERAL OF TEXAS
AUfflN
B-C.-
---
Hoaomblo Gmorge H. Shoppud
Comptroller of pub110 Aooouatr
Auetin, 'Peru
Deer s:r,
d'ere il$reoof‘jt0-F ’ lottar of tuni 14, 1944,
2
ln rhlo yoon’h.quoqt the bpd- ‘baof tble drp8rtmont 88 to
the grdpaP'rannrr,.6P~8rre88drat of th8 lnherltanoetex
agd.&ut the 'ortatq of ~prank 0. P8ttlboae. Thr will lx*-
outed by,,MA.,
Patti n8 ’ ado, ln oart, l8 follorrt
\, .'Y ,$ I-
lsx c o #Dp ,Z. @r, do~lre and boqumth
unto y tlfo,.h?a~ Pottlbono, 81A of 4 prop-
erty, real,~praonal 8nd mixed, end w!~ororo-
aver lltna tr0 d,
roremy rort and do8orlptloa,
with iull powor to roll 8114oonlo~ and dlr-
pO88 Of 8~. OC My prty th8r@Ot, a8 rho
My dO8h0, end ltany.tlma ml in ruoh manner
and upon ruoh tarmy a8 rhe mey eloot,and with
full powor in the prrnl8@8 t0 oonre~ the ebro-
lute r08 aimp tit18 therrto.
Honorable oeorm H. Sheppard, page S
=TnIRD1- It 18 my Will and dr8iro th8t
upoa thr death of my brlotrd wlfa, Nary Pettl-
bOna, rhould than m&ala lny of raid property
io ho? w88@88iOll not 418~8,ed of Or We4 by
ho?, luo hremaining property @hall ~88 to and
beoo1p1the property of&y daughter, Mary lml~~~
Poole, ao1 of Row fork* llewYork.*
Thor8 Wn be M qtl88tiOnbut that I? paragraph
T3eoondm had bmen alone inoluds4 la the ~111 anb paragraph
*Third* had bean Omlttub, the wife of t&o drcrased would
hare gottrn fee limp10 title to all o? the property. How-
ever paragnph 'Third* r@8emo8 ln the daughter the right
to rroaltr a11 0r the property that the dooaitentdW1804
to hlr rlfr rhIoh ~111 remain at the death o? hi8 rlta.
The validity Of 8 dd80 8uOh l8 ia thi8 will ha8 long been
rooognized by the 005rt8 Of thie Stat..
The will that -8 aonrtruod by the Supream Court
0r nxa8 in thm oa8e of xoxurray, et al v. stanlay, et al,
b S. if,412, w8a quite rimilar to thm will in the prerent
oar*. The only di??erenao between the Ba&ty will ln that
Oa8. an4 the Pettibone will in thi8 OI88 18 that tti Baalay
~111 prorlded that all of the property rhould go to the cur-
vitlng rpousa who 8hould hsrr full power rnd oontrol 0101
the aam to UIBII or 4lrposo of. However, tha trstatrlr f~llc-
ther rtatrd th8.t It we8 hoi will and drelro that if any o?
the property -8 rOm8tning in her hurband'r po88e881On at
hi8 death that hr rhonl4 then girr the 8~38 to the two
&bOOi Of the tO8tdrfX. Th8 OOUXt 8tatOd 68 rOiiOW81
We lre of the oplnlon that n. a.
Ba@s;*tGok under thewill an l8tatr la fee la
tha entire propaty, but thnt thi8 WI8 la trust
four the Wueri6Iarler naaod ti the toarth par-
lgr8ph O? thr will, emopt a8 thalr right ma :
11mIt.4 by the right given to him to U80 and
dhposr of th8 property during hi8 liietime,.
whloh -8 g iven b yth 8 lZ3n88 term@ Of thr
till.'
fhgourt npheld the rallblty of the ~111 antIrtntod a8 fol-
-
695
BOBOrabl@ -Orif@ II. 8hop~?d, P8a8 8
0. . . wa know of ao iniloxlble ml0 of
lAw forbiddin &W@. lia&@y to 80 418p088 0r ho?
property by will a8 to tart th alntlra leg81
artate in her hurband, with powax to him to uee
or 4lapo80 ot any or all ot it during hi8 llte-
tlmr, won for hi8 own bendit, and at the 8a58
ti.IUt0VO8t l aqUitabl8 l8ta tO in What ppight
nmala at hla death la ho? Iii0O08, and to oon-
?8r upon her hurband th0 powor, and to make it
hi8 duty by will or othonfsa, to met the lrgal
l@tate la 8uOh romainla &Q’o~?ty et hlr death
ln thorn.. .*
Th8 OOU?t ?U?thW @ULt~dl
. I? ldrr. Baglay had proddo
in ox-
pr088*&,0 ln her ulli that the pert of ho?
@@tat8 remainingat the iti ot her hurband*r
death 8hOUld go to t&e per8oM na1~06in the
f3urth paragraph, than a lrgal l8tat8 therein
uould harr trs8tadln thu iurdO?the tilll but
thh rho did sot. . .*.
Th8 typ8 of will ntmrnd to by the Oourt in thi@'lart @.a-
tenor 18 one euoh a8 lxrauted by k2. Pottfboae.
3%. xowrny oa8e 18 authority for thm propo8itloa
that tho will lxooutod by Xr. Pottlboao 18 a ralld on@ and
one that 8hOti6 b8 r0ii0w04 la all it8 dotail and rnrorord
by the OOUft8 Of thle Stat. I? lla0*88al'y.HOWWW, in 80
doing thm oourt oomentrd upon the partloular right 0r the
?&LhIdO? -6 @tat08 a8 ?OiiOW@I
”
plalntliie bad attemptad to
. . . xi the
rho*, at mm0 tIa*
prior to tha death or I, 0.
m&y, to what property thal? ulttit@ and
tenr?lc~lrlright would lttaoh with a view to
lntoroe IO- luppored ?i@t, it rOti4 doubtlo
hero beoa ha14 that the lubjaot to rhioh ruoh
tru8t would 80 lttaoh war than toe unoartala)
for Jr. 6. Bagloy had, under the x111, up to the
raw tima 0r hia death, pomr to defeat thmlt
right to 0iv particular pnrt of thm p?opWty. . ."
696
Honorablb Oeorge H. Sheppar6, mge 4
EatIW datemIne the talI4Ity Of the 4erl80 to both
thewiie and the daught8r ln tho ~111 in quortlonit bo-
oome8 neoe88ary next to oolulder the value ot laah l8tato
or Intefest in thr property for plrw8e8 or the Texar m-
horltanoe mx. Art1010 9119 or the r~lrod civil statute8
prwldr8 a8 fOiiOW81
*All property within the jtUi8diOtiOa 0r
thlr State, real or per'Oon81,oorporate or in-
oorporate, and any Intorert therrln, lnoludlng
property p888Ing undo? a general paver ot ap
p o lntment lxerolee4 by the doordent by will, ln-
0iuabg the proaeedr of ii?@ insurmnoe to thr
oxtent of the lmonat noelrablcl by tho cixeoutor
or ldmlnl8trator a8 lnruranar under pOiIOiO@
taken out by the deoedrnt upoa hi8 own lI?e, and
to the rxtont ot the 0x0088 over Torty Thousand
Dollar8 ($40,000 of the mount r8oalrablo b all
other bensflalar108 88 Inruranoe under polioI @I)
takra out by the deoedmt upon hi8 own lI?e, wheth-
er belon&g to lnhabltantr ot thir State or to
p8rroae who are not inhabitants remrdle88 0r
whether suoh proprty 1s looated wIthIn or with- /
out thie State, whlah 8hall pa88 absolutely or
in trust by will or by the law8 Of de8Oent or
dlrtrlbutlonot thlr or any othrr State, or by
do86, grant, 8de, or girt nude o? Intended to
tOk0 OrtOot in $G88e88iOn or 8njO~Mt after the
death of thr grantor or donor, rhall, upon pasr-
Ing to or tor the 088 of any perIon, oorpoxmtlon,
or r88oalatIon, k rubj8ot to a tax for tha bon-
ltIt ot the State*@ Oeneral Revenue -6, in 801
oordanoe with the folloning Olas8I?IOatlon. my
tranrtrr nade by a grantor, vendor, or donor,
whother by dad, grant, 8ale,Or &it, rhall, un-
lerm mhowa to the oontrary, bo dormed to hem
b8en mad8 in contemplation of doath and rubjeot
to the 8aUiO tax a8 herein prorldod, ifluah trane-
for 18 eade wlthia tuo (L) year8 prior to the
death of the grantor, vendor, or dOnO?, Of a mm-
terial prt ot hi8 l8tata, or if the tranrtrr icad8
within muoh per10618 in the natura Of 8 tlnal 418,
trlbutlon of proparty and without ldrqwtr valuable
oon8lderatIon. AOt8 1923, 2nd 0. 8,, 0. 68 AOt8
1929, 418t Lea. Art C.S. 0. 109, oh. 80, 8 i, Aot8
1939, 40th Leg., HI.E. 990, @ 1..
Art1010 71PS or the B@T18.& Olril St~tut.8 ma8
88 iollor8r
'If the property p88i4 l8 8fote8aid
8hA11 bo did&d into two Or aOr lltat.8. a8
o r r o r life 8.nd 8 r8calnddr,
8n l8t8to for y e a r 8
thr t8x rhall be lrrisd on eaoh 88trts or in-
%8re8t 8eparately, BOOording t0 the lalu8 0fth8
ram8 et the death of the decedsnt. Th8 Value Of
Ortat for PIar8. l8tQt88 for lffl. rUIiSfnd8r8
an6 WlUiti8; 8hbi b8 d,t8l%Uin8d ir thr ‘AOtU-
lrler a Exxprrirnoe Tablor.* a1 Sour Q8r
Coffibinr
OMt OOEQO8ildinth88t." (Und8riillhl@ OW8)
A* - ha+. pr8tiOU8lr 8tdd6 the Wife 8n& drughtrr
both h4V8 8-8 8Ort Ot 8a 88tatO Or i!lt8r88t in th8 property
Of the dOO8dsnt. Za iolloring the Bandate O? th8 8tatUte
thrt th8 t8X bo lOVied agaiIl8t 8OOh 88t8t8 Or int8rO8t rooord-
ill# t0 thr Y81Ua Of th8 SW it i8 Zl80~8S8r~that 10 d8t8tmiIlO
the ValW Of the tW0l8tater OI iilt8rO8t8, The SU~r.5. COUrt
Of T8xr8 intit@ 088e Of HanM 1, Lad8wiL[, 11 8. -if. 153, in ln
opinioa wrlttm br 0h18t iu8tiOr3t8yttoo,oonsidere4 l will
which -8 Wry 8Fai18r to the ODOin thi8 Oa8@. The Oourt
8tatd that it would 8881~~0 tha EiO8t f8TOrablr QO8itiOn iOr
thr lppllmtr 8nd thereby 888uma that under the will the
rif8 took only a lifm l8tato la ha? hu8brndcr prop8rtr with
8b8OlUtO dower
to di8p88 O? it &UZtng hrr lif* by de8d. Th8
OoUTt then di8OU88d the right8 Of th. ?emhndarpIM, &IIb
8tat8d 88 fOl&W81
a* . . ApFdl8llt8 do BOt rtand I8 Oredit-
Oil, Or p8r8Oll8 harin(lfixed right8 in the
ptopsrtT, not t0 b0 dit88ted, Ud888 by 8 OOn-
rryanoo cm13000 alueblr oon8idoration Err.
Hiltklr f8it OOm~O118b iOX her OWB 8U&VQr%, Ot
an7 other raa8on, to 8au it. Whmthrr they
l&meld 8~8? r8Oeitr 02 beoow lIltitl8dt0 thr,
property Ti8lt8rHinkly luda depondont oa the
rolatioa, p1088U@, 8nd 8Ot Of hi8 Wlf8, who
w8# the aother of tha p8t8On8 who MI@ t0 take
ii the -a %?~ did not lx8Outa the pOIHt 8Oni8rrOd
on ho?. apOUl8tiOll l8 to why ho OoniriT8d OD
her rueh a power would bo unprofitable, but it
la lik8ly that b felt ha oould safely iotrurt
to the Roth.? I pOWat ia th. nOWOX8rOf8~ Of
Eonorablo Ceorgm H. 8happard. pago 6
whioh h8r own 0hlldrra ware interO8tOd. she
having lXr r Oi88d
the poWOr OOni8rr8d UgOn her,
through WhIltSOOV8rIQOtfW, Ot UpOn What8OW.r
oonridrration, their oont$nsentright ~86 for-
lV8r Out Off, Wh8n it *a8 0~00 lI8rOi88d 8ad
tb rrot th8t the property was reoonwy8 d to
h8r i8 a Mtkr 01 110 ia~OrtaIlO8.*
~ttOl-liO~8 iOr thr Ortat* Oit. 008. .til.
Of C8p188
v. lfud, 199 8. 0, 866, by Suprem
the Ooutt o? hxar for
the ruthorltt that th. r8mainder h8r. W88 l T88t8d Nmllinder.
Tlu Will under Oon8id8ratiOl.t in th8t Oar. Wa8 8OUi8Wh8t dlf-
trrrnt from that being oonridrred thi8 In 88idO
opfnfon,but
rror th8t faot, it dannot be denied but that the sUpr8aO court
or T8x88 rroogniz8d that whateter right the ramaindrrmen had
nr taord 00 a mero oontIng8noy. Th8 OOUrt 8t8ted 88 fO11OW8,
‘Wh8th.tthe?. will k lnr of thm estate
remaining undo? the rrrroI6a of the power pre-
88nt8 l OOUtill,$8nO~, it 18 tNe. But UlldM
th8 will. th8 VO8tIw Of th8 ilLten8t
Of Joarph
Caplee,and the other rtmlndrm8n, I8 not mado
d8prndent upon that OOntIBg8nO~. It I8 not a
oonditlon prroodent to th8 VO8ting 0r hi8 In-
t8rast, but only l oondition 8Ub88Qu8nt, vhioh
maf affeot thr amount of hi8 intero8t, or do-
taat it8 lnjo ~ent, An artat* 1lmltedupon l
oontlngrno~, to whiuh thm dt8Ot of l oonditlon
8Ub88QU8Ilt Odly i8 &iVOIi, -St8 at OliO*, 8ubjbOt
I t0 b diT88t8d Open th8 happ~&# Of th8 OOntIA-
gofro7. ? .a
j ' The aaturo of the partltolu lntk8t oi the re-
! MiadarIEoa ia ruoh a Oar* a8 the pr88Ont On8 -8 dirou88od
by the Bmumnt Court of Cl+11 App8alr ln the aas? of norton
tr Smith, 221 8. vi 84a. ThO OOlvt Ot8t.d 08 fO11OW8: I
“. . . &8. R81n8, l# W8 b b nr .Sh OW, tOOk
title Ia fee te all prOp8rty 68vl884 to hrr br
her hu8b8nd, Oeorgo P. Bdnr, 81~4,undot the 8x-
pr888 9rOV18iOM Of th@ Will, hrd th8 rb8olUt.
right Of di8porttiOU Ot 88LW, all8 LIO inter@8t,
underthr term8 of th8 will, wa8 t8Sted in the
8pp8llanto. but their interd therein aeg0nd0a
‘- 699
Honorable 08orgo X. Sheppard, pa80 T
took title in tee to all the
moWrtY 48r18~4 to her. with the oonditlonal
itit&tiOJith8t 80 -Oh-Or 8- l8 lpi&t Mt
bo dl8po8edof 8nd rhould be owurd br her et the
time of her death 8hould b8 rhsred ia to the ex-
t8Ut O? One-m? by the mmben O? the tertatOr'8
?UIl~. Urn. Rain8 having, during her llfrtI&e,
8XerOi886 the right and powor 8XprO88ly oonrorred
upon her by the will to roll end diapore of the
QrOprtr thrrrbr d@Vi8@d, it8 p?OOe8d8 OarnOt b8
fOllOW86 Uld 01aiS8d by the lppllUlt8 in thi8
Oa80‘ *ho80 int8re8t thrrrfn WI8 depndent UpOn
th@ OOnditiOn th8t Yr8. &rin8 8hOtid not di8po88
Of 8Uah prOparty durIn& her li?etLM. . l9 (CT&
derllning OIU8)
B7 W8y O? 8UIUMtY it 18 8pp6XWit th@t @ii th@
OOUrt8 Of
thi8 St8t8 r8OOgniZe that in 8u Oh l 0880 88 the ~
&W88llt one th8 daughter doe8 have M illtrr-8tOr l8t8tO
Of 8OpU 8Ort in the QrOpert)rbut th6t th8 8MI# r88t8 Up08
;Ere oont~ono~ and 18 8Ubj8Ot t0 belIq diverted et 8np
.
Attorney8 fo r th el8t8te eontond that for lnhorlt-
Moo t6x purporer in thir oa8e the valor lttaohmd to the
88t6t8 O? the wi?@ i8 the T8lU8 Of 8 8bIp1e ii?. 88t8tO is
the property. To do 80 ~Uld bb to i~nor@ the plain faOt8
of th8 0880. On AU@8t 1, 1931, A88iltWAt AttOrnrr 08n8r81
8ddXV8886 t0 l%Org@ 8. s,h8p-
1. 0. ~O?&~O@~ VirOt@ WI 09illnfOII
pard in whloh the proporltion under oonrlderatton in thlr
opinion was di8OU8886~. After qootInl(the 8pplIoable 8tat-
Ut88, JUag@ ~Om8O;l 8t4t8d a8 iOuOIV8 I
*It till be note4 t&t in (0880property
i6 dirlded into two or more 08t6t.8 *the taX
rbll be lerl8d on uoh 88tato or inter880
rep8ratel7, aooord1n.g to~alue~~88IM
at the death of the droedont.* A rule ia th8m
glvra for oomputlng the value of pur0 life
l8tate8lnd Other l8t@t@8 for rO-8.
HonorableOaorge Ii.8hoppar4, pa60 8
Wall@ the right of dI89oritIon maI not
ooma within the doflnitlon of an7 defined
88tat0, yet, unque8tionably, it ie an *intorelt*
in the land rueh a8 ia ootend and oont8mp~ete6
tn the term8 Of the 8t8tUtO aboro qUOt@d. WI.
Cooke took, under the will, a life rrtate in
t88t6tOrc8 land8 91U8 ‘the UIW88triOted right
to 8811, llI8rl8tean4 dlrpor, Of In any MM8Il
8hO ni8y 888 fit’ any and ~11 real pro&Wty dir-
porti of by hla will, axorptlng the four reotiona
-6.
*It I8 q OQkLlOll,Md I80 8dvI8*, th8t h8r
l8ta tarhould be oharged, not only with the ralua
a? her life artate In all the lmd8, but, ll80,
with the fair and r8aronablo value 0s h8r right
to rell and oonT8y8614 18ndrwith the lmpllod
right to own and
appropriate the prooded8. Thl8
uPbr80.8 lV8-
right Of lbrolut@ OWllerrhip,ax-
oepting th8 right ta dirpore of 8aid 18nd8 by will
Or t0 hare 8aJM pa88 t0 her heir8 by de808xt.
90 th8 ordinary pw80~1, r uo h l right wool4
be worth th6 m8rket valw of the land8 Sot, on
the l88um tlon that every parton, lookiagto hla
own rrlf-!nt8rast.r will do th8t which best rub-
88H88 hlx perrod Iatrrertr, the ordinary per-
80~~. therefore would lxer818e right and.8811
hlr
the land8 ix hi8 lI?otime an& lpproprlata
the pro-
;:::, whloh he roald hare the 0188~ legal right
.
*A life 88tate Inrol+er the right of th8 life
tenmt to OOOUpf, 080 and maJoT a 18ndrd 88t8t8,
lnoludIn( the right to renb th8 88a8 a a ld
pproprl-
ate the rcmtal8. m valtii~ ruoh lI?e 88tate the
law l88uaeo that thr life tenant will avail him-
8@ lffO
6? lld
21 the r ig h t8 priYii8~8 glWIt@d; lld,
henoe, in deteraln~ #uoh value th@ law take8 in-
to 4.onridmtion the value of 8li suoh right8 a8
I? ?ully lx*r018*4~ In other wordr; the law a8-
8U88 that a life t8nant ~111 avail hlmaolf of lrrr7
rl&t and prlrllo~e ia or&r? to Qromote hia 8rl?-in-
tere8ta.
“By
lB81057, r 8UbBit tb6t it lDIr -11 br aa-
$uawd in thi8 0888 th6t the lif. t.IlMt, hW8. cook@,
Eonorablo CMorgr E. Sheppard, Page 9
will aTal harrelt or the ri@lt to 8811 an4 die
pass 0r the lands in question in her iir0th
and that, therefore, hsr ostate should be tax.4
with the iull mlue ot as14 lands at ths death
or th0 te8kt0r.
'It
oocura to ae that tEl8 woo;ld more likolf
sttsio thr rnda of justloo than would bo done br
texing the rstatr or ths rezalndsrzma with the
rull talus or ths sotats lo remindor, when, in
all probability, thslr latsrest in said lands will
be 4eieat.d by tha sals or aaes by ths llfs tsnant,
la whloh ltentthey would br pafling tars8 on WI
sstste vhloh thmr never raoelve.*
09lnlon or this depsrtcent
It is the that the oor-
rrot rulr or law to be applied was announoed ln this opinion
or Judge mrth8e~. Vnder our statutss ths talus or the dir-
rrrrnt sstatrs or.lntensts sre to bs assessed as of the date
0r the death 0r the droadent. As 0r suoh 4ato the tire in
ths Pettlbone will took an intersat or sstate ia the prOpert
oi the drcodantwhloh unqus~tlooabl~ (~srsher the full valur
or all the property devised. It 18 our oplalon that ths
lstste or interest of the daughter h88 no prrsaat value for
lnherltsoor tax purposrs 4s that the ram would be no mar,
thsn an srpaotenop or ruture p~ssesslon. To assess end ool-
lrot a tar against the estate or lntsrsst or the daughter
would bo to oollsot a tax against an interart that may never
eoizeinto being. On the othor hsnd to collsot the tax agalast
the estate 0r ths nothsr as ii ths sane 1s only s iire estats
woPl4 nob be to assess the tax SgSinrt tbt estate at its
present run valus.
In this roanmotionw hate oonsidrrrd the oplnlon
or the States Boar6 0r Tar ~ppsals la the nratter0r
vaited
the Estate oi Carrie L. Jon08 subaittsg to US by the sttor-
nays ror ths sstate. we find nothing la that opinion eon-
trary to the posltlonwe are takinghere&%. In that oass .
tb oourt raoognlasd.th valtdity of a will spd its prorlsions
whloh were very sldlar to tEo will in qUSStibB in thls aam.
In that oass the husbenb did rirst ~4 hit the propsrty to
the wire to use or dispose 0r and ii any 0r the saae rszalnsd
to go at her death to the daughter. The court ha14 that when
the wi.Sadied t&s property greasedto the daughter under the
till ot the husbandand thst therefore the sue wss not taxable.
Honorrblo Q.org. IL 8hop~r4, mu@ 10
I
rho ease door not lnr o lr o l sltuatlon or Sn lnhorlt@nSS z
tax or en rstste tar boln4 sssSsss4 Sgslnst the rsrlou8
intersets or estates 88 0r ths tim0 0r th0 dsrth 0r th8 ‘;
husbsn4. c
!
Ths oonoloslon w hare rnnoonor6her prsvlously
hem statedby ths oourtsor the State or jisw York on at
lssst two 0008810121* In the ossr 0r In mtrt Bsr~ms
Petate, 2a5 Iom Tork Supplunent 549, th. oourt uag oon#i4B (
lrhg A till whloh left l life ortat. ia the satin rsnulbdsr i
to the widow with gewrr to use the whole or say part for her
SUppOrt end laalntensnosla the went that ths inooae&erlre&
tMrsi?Om shouldnot la her opinionbr sPirlolsntror tht
'lb tslw Of the propotty whloh had been left by
~~%;4ent wss $18,540.3b. The State mx Orrlolrls taxed
the value or th0 tir8*8 88t8te et $~,wM.oo, msn th8 wire
dir4 the OiiiSlSlS SttS!&Od t0 tSX the DSXtr who WSS thS
r8m.sIndermanin the orlglnalwill oi the husband oa ths talus
Or the property thus p@##lngto ~14 rwmlndemn. ms
oourt state4 88 r0110w8f
•l&~81tloa o? the @stats ,lnbrlsi, is,
that the interest or the widow under the will
~SS S bars r00 en4 that aha me thmoron prop-
wly trxsbls in 1915 on th8 eatin runalndrr
o r the l8tsth This oontrntloa sppesrs to be
wholly mund. . . True, the sppr~lsor, in 1915,
rrre& in air 4rtrrminatlon of the rslus oi thm
lirs estate wlth pwst to oonsumo,sines lt
shoula hsrr been fixed et $l4,a40.33 ea4 not at
$4,aB4.00.*
fn other words the aoust etato that St the titm
or tha death or the originaldrosdsnt,evea though 6ho wiis
got only s life estate with the powsr to 4lsposeor t&a prop
e&y, rho hsd 6OttM fall valim an4 the tax should hare bean
sssessr4sgalasther sstataet the fullrsluo of the proprt7.
m thr oaso or In Ro: FOst*s fstate, 155 Rsw York
m~;lemrnt 4a4, the oow 8saS proposl-
wss.oonrronts4 with the
u rsrerrlng to the estate that was trsashrrsd to the
v&lo; upon the death of deordsat,aad in hOldhI that the 8s~.
shouldbe tush at th8 rUii Vdu@ Oi th.POQUtJ, tb 8OWt
ststod 88 ion0888
703
Honorable Qoorm X. 8brpprl, Pgo 11
‘It 18 trsnsierrea to her wider the draw
dent*@ till an4 the state lm~08rr a tax apon the
vslms oi the proport trsnsrerre4. There is ILO
luthorlty la the tax law for sssessing 8 tax up
on the mlue or her w0 estatoin th8 resl4us~,
boausr thst 18 not the l&west trrnsrsrrsd to
her br thb will or the deardent. Bho is sntltlsd,
not only to the inoosm from thr rosldusr~ during
her life, but also to the prlnoipl. . .*
It is the opinionor thls~drpsrtmsnt the rule
that
lxmounoe4 in the tw Kew York eases quote4 troa and the reason-
ina used thoreia is oorreot. It is our oplnloa thrrsrore that
the estate or We. Pottlbono should be taxed at the tull mlue
0r the property and the estate or the daughtrr, la thrt it h88
noQbnlient value ror lnheritsnoe tax p8arp0ses, ir thererore not
.
Teurs very truly
ATTORKRT CZHERAL Q$ TEXAS
APFMVE??JLJL25,~1940
~.-d
ATTORNEY GENERAL OB TEXAS