United States Eighth Circuit
Holman v. Comm'r of Internal Rev., 08-3774
In a petition for review of the tax court's order (1) holding that the IRS correctly applied I.R.C. section 2703 and properly disregarded petitioners' partnership agreement's transfer restrictions and (2) applying smaller lack-of-marketability and minority-interest discounts than those claimed by petitioners, the petition is denied where: 1) the tax court correctly held the present restrictions on the sale of the shares at issue were not "a bona fide business arrangement" in accordance with section 2703(b)(1); and 2) the tax court's approach in adopting an expert's analysis comported with the general rule of casting the potential buyer merely as a rational economic actor.
Appellate Information
- Decided 04/07/2010
- Published 04/07/2010
Judges
Court
- United States Eighth Circuit