In re Fish's Estate

Summary

The Michigan Supreme Court considered whether a federal estate tax paid by an executor was deductible when calculating Michigan’s inheritance tax. The court held that the deduction was not authorized because Michigan’s tax was measured by the clear market value of the property at the decedent’s death, and the federal tax was not an administration expense. The judgment denying the deduction was affirmed.

Holdings

1. A federal estate tax paid by the executor is not deductible from the clear market value of property at the time of the decedent's death when calculating Michigan's inheritance tax, unless the Michigan Legislature authorizes the deduction.
2. The constitutional challenge is rejected on the authority of Union Steam Pump Sales Co. v. Secretary of State.

Questions Presented

1. Whether federal estate tax paid by an executor is deductible from the value of property at the decedent's death when computing Michigan's inheritance tax.
2. Whether denying the deduction violates the uniformity clause of the Michigan Constitution or the equal protection clause of the Federal Constitution.

Disposition

affirmed