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Home My WebLink AboutOC1969-1356 - ESTATE OF SHEAFFIN THE COURT OF COMMON PLEAS OF WASHINGTON COUNTY, PENNSYLVANIA ORPHANS' COURT DIVISION IN RE: ESTATE OF HAZEL A. SHEAFF, Deceased NO. 1356 of 1969 (63-69-1356) APPEAL FROM DECISION OF INHERITANCE TAX PROTEST BOARD OF PENNSYLVANIA DEPARTMENT OF REVENUE AND NOW comes Sue A. Cowan, of the Borough of Canonsburg, Washington County, Pennsylvania, who it is claimed is a transferee from Hazel A. Sheaff, deceased, and does hereby appeal from the decision of the Department of Revenue imposing an inheritance tax upon her. Sue A. Cowan ....... ... ... ... ,... 'f'" 6rder of Court AND NOW, November l... '-1969, the within Appeal is directed to be filed. ,---------------------------------------------------------------------------------------, ®ffirr nf 1lt.rgi!lttr n.f IIilLa RUSSELL MARINO REGISTER OF WILLS AND EX-OFFICIO CLERK OF ORPHANS' COURT masqiugtnu. ittuu.ayluauia ~2 DEPUTY REGISTER GUY A. ROGERS December 15, 1969. Mre William RQ Atkins, Director, Bureau of County Collections Department of Revenue, Harrisburg, Penna. 17120 IN R E: APPEAL FROH APPRAI SEHENT ESTATE OF HAZEL A. SHEAFF ~-DECEASED .. NO. 63-69-1356. Dear Sir:- Enclosed, herewith, please find APPEAL FROM DECISION OF INHERITANCE 'I'AX Pl1QTEST BOARD OF PENNSYLVANIA DEPARTMENT OF REVENUE, in the above estate, filed by Zeman and Zeman, Attorneys at Law, Zeman Law Bldg.,, Canonsburg, Fa., on behalf' of Sue A. Cowan, of the Borough of Canonsburg, Washington County, Pennsylvania, bearing Order of Court dated November 26, 1969: in duplicate .. rm/fkh Encl.,(2) CC: Inh. Tax..Dept.-Hash.Pa. ~lf'y)truly yo~~;,_' ... !~~ . I 2? ' ' -_ /) '/ 1 ..-• ~ / _f. __ r-c.-tJ ~ _,-t:.--<'-V.--...t:.....~'...-L:J_J 7 -r- RUSSell Marino, Register of Wills. i., ~u t4r Qtnurt nf Qlnmmnu Jlran nf lfan4iug:tnu Qrnuuty ®rp4ttun'~· arnurt iinininu In the matter of the Audit of Account in TO THE AUDITING JUDGE: Enter __ ... ~<-.::--:~-----•·PP'"'ance '" ~.Lit' i @~/.,._,;, //~day of ~. ,19 ''· N. B.-Counsel shall, by separate paper, present a concise statement of each claim, with supporting calculation of any interest claimed. Objections to an account as filed, shall be concise 1 y stated in a separate paper. Council suggesting proper distribution shall file a separate concise state- ment in that regard. ci z I .... 0 I I - ! I I I ~i COMMO~AL TH OF-P-ENNSYL VA~.IA sttiCfoPffdJJ DEPARTMENT OF REVENUE -OlJJifirr ;.,g:Au fl);p- HARRISBURG ~· !Ltfcrll)JiS RCC-43 (5-65) Sff 8 . 8''"7•1111 , ., Hn 'GO NOTE: TO BE SUBMITTE!D IN TRIPLICATE ~ ~ ~ / Pennsylvania Department of Revenue Bureau of County Collections 26 S. 4th Street · Harrisburg, Pennsylvania Dear Sir: Pursuant to Section 742, Pennsylvania Inheritance and Estate Tax Act of 1961, we herewith submit the following report: NAME OF REPORTING FINANCIAL INSTITUTION Slovenian Savings and Loan Association ADDRESS 107 Latimer Avenue, Strabane. Pennsylvania 15363 ACCOUNT NO. OF JOINT, TRUST OR INVESTMENT DEPOSIT_6!..!lo..,..lu6;4t--Ll.6Q~,~.1.1.-:i5~-"---------- NAMES ON ACCOUNT r-( OR INVESTMENT Sue A, Cowan or Hazel A. Sheaff J1p}L / ,-I DECEASED JOINT DEPOSITOR, / TRUSTEE OR INVESTOR ----=H=a=z=e=l_.A=·~S=h:.:e~af!!:.:f!:...--_V _____ _ ADDRESS Hutchinson Hall Apt. Canonsburg, Pennsylvania 15317 DATEOFDEATH _______ ~~T'~tn~e~S~,_.l9~6~9~------------ SURVIVING DEPOSITOR, BENEFICIARY OR INVESTOR __ S.;;_u=e;;.._;;A::..::.,__;;_Co.;;_w:=a=n=------------ ADDRESS .317 Spruce Street, Canonsburg, PennsylvaD.ia 15317 RELATIONSHIP TO DECEDENT _ _:S~i!:.!s~tt.lioei!:!o.r ___________ _ DATE DEPOSIT OR INVESTMENT WAS ESTABLISHED November 13, 1968, Noyembe;r 13, 1969 BALANCE, INCLUDING INTEREST~~ S. DUE,ATDATEOFDEATH$ ~~~ ·. . . . . 'FPs tiBao soo_oo ;:: _ ~ ~ ~-' 4 -v 7(.5 oo. I I 1r ~<=>-. ~ ;) 0 Signature TITLE Albert L. Tomsic, Secretary RCC-134 ( 1-69) y __ -~ COMMONWEALTH OF PENNSYLVANIA ·-fiEPARTMENT OF REVENUE BUREAU OF COUNTY COLLECTIONS INHERITANCE TAX DIVISION OFFICiAL NOTICE OF INHERITANCE TAX APPRAISEM'ENT AND ASSESSMENT OF ASSETS NOT SUBJECT TO ADMINISTRATION TO: SUA A. COWAN 317 SPRUCE STREET CANONSBURG, PENNSYLVANIA 15317 Date: January 26, 1971 County Washington County File No. _________ _ Bureau File No. ,1sz-~ f-/JS? We hove received notice thot,B'Xil · ~ XXXXXXXXX.XX XX.X.XX on_-June '8, 19__6.9 you come into ownership of certain property through ·~W~-~·~.fto._A~!~ ~Biti.XJP~ Transfer from, HAZEL A. SHEAFF, deceased. Under the Inheritance and Estate Tax Lows of the Commonwealth of Pennsylvania such transfers ore taxable and the liability for the payment of the inheritance tax due is imposed upon you, as transferee. The property on which tax is hereby assessed consists of: Jt. Bakh Accounts (1)#6016, (2) #6015, held in the SLOVENIAN SIVINGS AND LOAN ASSOCIATION, STRABANE OFFICE, STRABANE, PENNSYLVANIA. In the names of SUE A. COWAN OR MRS. HAZEL A. SHEAFF. Opeaed, 6-8-69. Balance as of date of death, (1) $15,000.00 and (2) $15,000.00. appraised by the Commonwealth, as of the dote of death, at$ 30,000,00 50 %of this amount is taxable at the rote of 15 % DATE OF ASSESSMENT TAXABLE AMOUNT LESS: ALLOWED DEBTS NET TAXABLE AMOUNT AMOUNT OF TAX DUE 0 l.f you pay the above amount within three (3) months of the date of death of the decedent, or on or before 19 you may deduct a discount of 5% of the amount of tax due, or 0 This tax become delinquent, fifteen (15) months after the date of death and, in addition to the tax, statutory interest at the rote of 6% of the tax per annum is also due as of * March 8, 19__l_ljn the amount of *If the tax is not paid by the above date additional interest is due at the rote of 6% per annum until paid $ ORIGINAL ASSESSMENT AMENDED ASSESSMENT $ _ __..;;;1_;_5 .z....' o_o __ o..;;. • ..;_oo.;..___ $--------------- 2,250.00 67.50 2,J17.50 $ ================= TOTAL AMOUNT DUE APPRAISED BYa _f (2~ .uA (Inheritance Tax Appr~) ASSESSED BY: ______________ __ (Agent for the Commonwealth) INSTRUCTIONS TO TAXPAYERS To insure proper credit to your account th1s Official Notice must accompany your payment. Mai I or bring it to: lOt~H ·v~;~rH 'tr r~ ... "" .. " \ 3S OP J.:·r·' -- HliV3N~~JfifiL.:fi ·.: If you have already paid this tax to an executor, administrator, ~orney or other personal representative of the decedent for forwarding to the Commonwealth, list below the date patd;-name and address of the person to whom you made payment, their official title and the amount. Date Paid Name and Address of Payee Official Title Amount Paid Under certain circumstances, if, after the date of death of the decedent, you personally paid funeral expenses or other just debts of the decedent, with funds derived from the property herein taxed, such amounts expended by you may qualify as deductions against the gross value of the property in the computation of tax due. If any such expenditures meet all of the three following tests, it is recommended that you itemize the payments below, execute the affidavit, and return this notice. The Register of Wills will examine the debts claimed and allow those which he determines to be proper. The tax will then be recomputed and you will receive an amended assessment of tax. THE THREE TESTS WHICH MUST BE MET ARE THAT: '" l -You were personally legally responsible for these debts, and 2-You actually paid these debts out of the account or property described above and can furnish proof of such payment, if required, and 3-These same debts are not also claimed, for tax purposes, by an executor, administrator or other personal representative of the decedent handling the administration of the general estate of the decedent or any other transferee. SCHEDULE OF DEBTS Date Paid Name of Payee Description of Obligation Amount Paid TOTAL $ (attach separate sheet if required) COMMONWEALTH OF PENNSYLVANIA) SS: COUNTY Of _______ _ I, hereby certify that the foregoing is a just and true statement of funeral expenses and other debts of the decedent, , for which I was legally responsible and which I did pay out of the property herein taxed. I further certify, that to the best of my knowledge and belief, these same debts will not be claimed by any other person, for inheritance tax purposes. SWORN AND SUBSCRIBED BEFORE ME THIS ___ DAY OF ________________________ 19 __ Signature of Tax payer REPORT OF REGISTER OF WILLS I, the undersigned, duly elected Register of Wills in and for the above county, do respectfully report that I have allowed deductions listed above in the total amount of$ --------• Date of Approval: _______________ _ Register of Wills ------------ Fonn RCC-2 / .;. ___ ,, OF PENNSYLVANIA DATE ....... Ma.r..c.h ... S .. ,. ...... l...~.7..l.. ..................... . COMMONWEALTH DEfARTMENT OF REVENUE RESIDENT INHERITANCE TAX .......... w:ashingt..o.n ..................... BUREAU OF COUNTY COLLECTIONS COUNTY HARRISBURG. PENNA. 17127 APPRAISEMENT FILE NO. . ........... Q .. 3..::.P.~.::J.~.~ .. § ................... Whereas, ................ H~.~-~.l .... A.~ ...... $..h..e..~.f..:f. ...................................................................... late of ............... 9.~.~.9..:g.$..P.~.r..g ...................................................... in the County of ...................... W.~.~h.~:g_g_~.~-~ ......................................................................... Commonwealth of Pennsylvania, having died on_ the ..................................... ~ ..... ~.h .......................................... day of .............. ~.~.I.l:~ ................................................. 69 19 ............ , seized and possessed of an estate subject to Inheritance Tax under the laws of the Commonwealth of Pennsylvania; Therefore, I, ............................ Alf.red ..... T .. o..s.i ........................................................... , an appraiser duly appointed according to law, having been designated to make a fair and conscionable appraisement of the said estate, and to assess and fix the cash value of all annuities and life estates growing out of said estate, hereby file the following appraisement: In the event that any future interest in this estate is transferred in possession or enjoyment to collateral heirs of the decedent after the expiration of any estate for life or for years, the Commonwealth hereby expressly reserves the right to appraise and assess transfer inheritance taxes at the lawful collateral rate on any such future interest. Unit Appraisement Description of Asset Values Made for Inheritance Tax Purposes $ JT. HELD: Jt. Bank Accounts _(1) #6016 ~ _{_2} #6015_~_ _held in the SLOVENIAN SAVINGS AND LOAN ASSOCIATION. STRABANE OFFICE. STRABANE. PENNSYLVAN IA. In the names of SUE A. cmvAN or MRS. HAZEL A. SHEAFF. Opened, 6-8-69. Balance as of Date of Death (l) $15_.000_.._00 and i2) _Us Looo. oo (One half taxable) 15.000 00 _. ____ I I Total lS_t_OOO 00 fonn~;"!,';fh ~~ ::~h~w~ s-~o ~~· ~:; 0';~~;.:he a~o;;:r~ise~~~tis ~~de 1~ ~ ~~:~·····················~···········~···········~~ •• .. ::!~~7'' , Penna. ........................... lvASHINGTON ............................. . County RESIDENT INHERITANCE TAX APPRAISEMENT Estate of ... HA.~.:f::J.. .... A.~ ... §JP.~Af¥: ...................................... . Deceased. Late of CANONSBURG Date of Death, ......... J.Y.D& .... e. .. , ..... .l.~.§.~ ...................... .. Appraisemel!t Docket Vol., Page, 63-69-1356 Filed in Register's Office, .. Ma..r.c.h. .... 3.., ....... 19 ...... 7.1 Amount of tax due, $ .................................................................... . ' DEPARTMENT OF REVENUE > ,. Received, Examined and Approved, Wrote abo.ut Appra-isement, Appeal f1'om Appraisement, Entered and charged, •• I COMMONWEALTH OF PENNSYLV AN lA DEPARTMENT OF REVENUE BUREAU OF COUNTY COLLECTIONS HARRISBURG 17127 November 19, 1969 William R. Chaney, Chief Appraiser Inheritance Tax Division 243-245 Washington Trust Building S. E. Corner of E. Beau & S. Main Streets Washington, Pennsylvania 15301 Dear Mr. Chaney: Re: Estate of Hazel A. Sheaff File No. None Date of Death: 6-8-69 County of Washington Enclosed herewith is a copy of a Protest filed in the subject decedent's estate. On November 19, 1969, Mr. William S. Brandamore, Director of this Bureau, advised Zeman and Zeman, Attorneys at Law, of the action of the Protest Board with respect thereto. Accordingly, you are authorized to amend the record of this estate to conform therewith. JFS/llc Enclosure Very truly yours, t.~(MviOJ1_ o eph • Shamay, Chief (J heritance Tax Division For: William S. Brandamore, Director Bureau of County Collections cc: Russell Marino, Register of Wills J ~', ' Zeman & Zeman Attorneys at Law Zeman Law Building November 19, 1969 Oononsburg, Pennsylvania 15311 Rei !state of Hazel A. Sheaf£ Date of Deatht 6~8·69 Cougex of Wa§hinston The Inheritance Tax Protest Board of the Pennsylvania Department of Revenue met on the 7th day of November, 1969, and considered the Protest filed in the above estate. The decision of the Board follows I The Prote$t filed October 16, 1969, in the above matter is hereby Sustained in part. The joint bank aceount$ tn the Sloventan Savings and Loan Association of Canonsbutg, Pennsylvania are taxable on one•half the balance in.the accounts at the date of death. ., $~~ William s, Brandamore, Director Bureau of County Collections Fora Warner M. Depuy Secretary of Reventie £~ ~rancis J. Gafford, Deputy Attorney General William R. Chaney, Chief Appraiser Russell Marino, Register of Wills RCC-134 (84~ 65-1 ,;::;-., ,.. COMMONWEALTH OF PENNSYLVANIA ' DEPARTMENT OF REVENUE BUREAU OF COUNTY COLLECTIONS INHERITANCE TAX DIVISION OFFICIAL NOTICE OF INHERITANCE TAX APPRAISEMEN~ANO -A-SSESSMENT OF ASSETS NOT SUBJECT TO ADMINISTRATION TO: __ ~S-UE~A~·~C~ow-A~U~------------ 317 SPRUCE STREET --~CANONSBURG; PENNS'fLV ANI..A 15317 Date: -------=Se:..:::.£.pt.::..;e==mb=-=er=-..::1:;:1L,-=1:.:;9~69.!...-...;..__ County ____ W:.:;a:::S:::h::::i~n~g~t::::on~----- County File No. _________ _ Bureau File No. _________ _ We have received notice that,~IH.dl15Xd<f.XXXXXXXXXXXX.XXXXXXXXXID.XXXXXY.XXXXXXXXXXXXXXXXX on June 8. , 19~, you came into ownership of certain property throughVijliU~m''*IK.W~ -~.Transfer trom1 Hazel A. Shea1'f1 deceased, Under the Inheritance and Estate Tax Laws of the Commonwealth of Pennsylvania such transfers are taxable and the liability for the payment of the inheritance tax due is imposed upon you, as transferee. The property on -.yhich tax is hereby assessed. consists of: Jt, Bank Accounts {1) #0016; (2) -1/6015, held in the SLOVENIAN SAVINGS and LOAN ASSOCIATION, Strabane Office, Strabane, Pennsylvania, In the names of SUI A. COWAN or HAZEL A SHEAF Opened 6-B-69. Balance as of date of death '1) $15,000.00 and (2) $15,000.00. appraised by the Commonwealth, as o t e date of death, a 30,000.00 100 % of this amount is taxable at th te of 15 % DATE OF ASSESSMENT TAXABLE AMOUNT LESS: ALLOWED DEBTS NET TAXABLE AMOUNT AMOUNT OF TAX DUE 0 If you pay the above amount within thr e (3) months of the date of death of the decedent, or or before 19 you rna deduct a discount of 5% of the amount of to 0 This tax became delinquent one of death of the decedent and, in a tax, statutory interest at the rate _,per annum is also due as of * __ · 4------=;_ 19 in the amount of *If the tax is not. paid by the above ate additional · interest is due at the rote of 6% per nnum unti I paid ORIGINAL ASSESSMENT AMENDED ASSESSMENT 30,000.00 4,500.00 ~----~ \g . . '\ ----~--- $ 4,500.00 $ 2 2.56-d-(!) - raiser) ASSESSED BY: !2~ 4/-efY ~~~~-~ (Agent for th~ Commonwealth) INSTRUCTIONS TO TAXPAYERS Make checks or money orders payable to: (over) To insure proper credit to your account this Official Notice must accompany your payment. Mail or bring it to: If you have already paid this tax to an executor, administrator, attorney or other personal representative of the' decedent for forwarding to the Commonwealth, list below ti1e date -paid, name and address of the pe;son 'io whom you made payment, their official title and the amounti , .-.... . · Date Paid Name and Address of Payee Official Title Amount Paid rt I Under certain circumstances, if, after the date of death of the decedent, you personally paid funeral expenses or other just debts of the decedent, with funds derived from the property herein taxed, such amounts expended by you may qualify as deductions against the gross value of the property in the computation of tax due. If any such expenditures meet all of the three following tests, it is recommended that you itemize the payments below, execute the affidavit, and return this notice. The Register of Wills will examine the debts claimed and allow those which he determines to be proper. The tax will then be recomputed and you will receive an amended assessment of tax. THE THREE TESTS WHICH MUST BE MET ARE THAT: 1 -You were personally legally responsible for these debts, and 2-You actually paid these debts out of the account or property described above and can furnish proof of such payment, if required, and 3-These same debts are not also claimed, for tax purposes, by an executor, administrator or other person.al representative of the decedent handling the administration of the general estate of the decedent or any other transferee. SCHEDULE OF DEBTS Date Paid Name of Payee Description of Obligation Amount Paid TOTAL $ (attach separate sheet if required) COMMONWEALTH OF PENNSYLVANIA) SS: COUNTY Of _______ _ I, hereby certify that the foregoing is a just and true statement of funeral expenses and other debts of the decedent, , for which I was legally responsible and which I did pay out of the property herein taxed. I further certify, that to the best of my knowledge and belief, these same debts will not be claimed by any other person, for inheritance tax purposes. SWORN AND SUBSCRIBED BEFORE ME THIS ___ DAY OF _______________________ 19 __ Signature of Taxp.ayer REPORT OF REGISTER OF WILLS I, the undersigned, duly elected Register of Wills in and for the above county, do respectfully report that I have allowed deductions listed above in the total amount of$------• Date of Approval: ______________ _ Register of Wills I . I .... : ... --. r .. ·Driscoll Esttite, 17 Fid. Rep. 439 (1967) Erie County. Mary A. Driscoll (decedent) Margaret Driscoll (sister) survivor. Assets \'lere titled in surviving sister's and decedent's ' names;. and evidence estabiished that the source o£ the funds used £or purchase (of bonds~ etc.) came from the surviving sister and that there \\'as actually no intent to give the decedent any title to these assets at ·the time they \-rere acquired. .· '. · • All the t..-:>stirr.ony presented by the third sister ·'has convinced the hearing judge that although these ·rune items were titled in Margaret's and decedent's names, t."1at the funds belonged at all times exclu· ·sively to Margaret, the survivor-that there never was MY joint ownership of them and, therefore, . · · none of these funds belong m t.."le estate of Mary A . Driscoll, the decedent, an"d none of these funds is taxable b~ the Commonwealth. These assets, along ~ o I .• .. .. ·· .. · · .. . \ with others, were merely listed in both names for . . • .. ... ... .. . ·,··. the convenience of both .Parties in the event an emergency situation arose -which emergency sit· uation never did occur. The fact that the source o£ t.1.e funds used to acquil.·e ·these nine items came from the survivor is not the sole controlling factor; it is the i..."l.tent o£ the pcu:ties at the time the nine . items were purchased. There was r..o i..."l.tent on the . part of Margaret to create a joint .ownership of these . assets, even t.\ough' he::. name and that of the dece- I I ! . ! I ' i I ! ~- : ' '!" , . ~ I r ,. t . . ~. i I ' ! r· , r r I t ! ~ ' I I . r I· ,f [: r . ~ . I t . t r l- f ........... ~.-........ ······-· ~··--·-·· .. -·-·--·--·,, ,dent .we::e placed on them. · ~·'" -----.. ~· ' ... - ---·-· · .. ··-..... -The ·presumptio~ established by ·Cozmnonwealth's placing its -. . . app~a±sal in evidence is overcomeo I' • ... -',. .. :Nicholson Estate, 16 Fid. Rep. 3h5 ( 1966) (\'lestmoreland ·county) . , . .·: · .·387 Pa. 119 .. The evidence produced in this cz,c>~ Cl.~any ' . ,.. showed that Mae Wernert had control a~d posses· sion of the certificates of deposit at all tlm~s~ that ··• ·•. · .... · .. , , I •' .. , . : · .... t 1 d lt Wl,.th the bank when the certlflcates s .. le a one ea . d . d and that McKinley N1chelson ha no were 1ssue . . .. I k 1 d<:! of the exister-.ce of the certlflcat.eS. n now e oe ld · · tl that situation the certificates were n~t he JOm y . with McKinley Nichelson). but, were ~he. s_ole prop-: . f M Wern"'rt Therefore the certiflcates ap-erty o ~.ae. .. · : · ,, . . d·at $10 ,.00 were not subJect to Pennsy.~.varua _ pra1se · . ,"a • • • • ' ' I I I i i ' t ' ! : I I. I I I I r , ! I·. ~ . l. I I I • i· I I · ' _inheritance. tax. · .· ~ · ' ~ . . .-,-_-·---···--·----·-----~-~=---:.=-..-:----·--·· -----·-·--·-·.·;_ : ... ~~-. ~:-:.:.-::::~·-=-~.;·::::=:-:-·-------:--·-:-:-.......... ----· --· ·, . .;... ______________ - . ';•: . . . : ...... /' I, "'"'•'•'•""' ••· Slifer Es._"' ... e vC11J 2 34 D. & C. 2nd 391, Philadelphia 1964: Judge Shoyer quotes: "Any doubt as to taxability is removed by Sectio·n )12, -..:hich provides: "Property hal_d in name· of decadent who had no beneficial interest therein is exempt from Inheritance Tax." ' ' ... ·-~···-· ............ -... . I .... .• .·. .. .. ~ . ~ ·. :-. · .. .. . ' . . . . ··· . ~ ... ... · ·• · ; . The evidence establishes, and I find as a fact, that Flor~nce S. Goslin was the source of the several items · · of property found in the safe deposit box, specifically 1 the $8,400 in pape1· cm·rency sought to be taxed. Fur- thel', the1·e is not a scintilla of evidence to show that Mrs. Goslin made any transfer of owne1·ship of this cm·rency to decedent which would subject it to the tax under the quoted section of the taxing statute, anymore than the bank accounts, stocks and bonds found in the .box which the Commonwealth conceded were not i~- ' .. . . cludible in decedent's taxable estate. · · . Accordingly, the appeal from the. assess:nent of the tax is· sustained and the record .s renutted to the , . Register of Wi~ls. ----------------~--~ .. . . ,, . . I . . I ., I' ·, · .. : . ·, .. ·. . ·~ ... ••... •. ,,· . . " ..... . ... . . . : ·' ··- . .•· . ·, .. · . .. ... : ! I I ' . ' ' " ; l . i "I ' '; ., ' i .\ ' i ~ •' -------~--~---------·--_;:__,e-:.,.------~·:_--~----:-:-:---::.!~-~.;._ .... 1------···--·. ·, .. ·•"'f . : ,,:m_-...... ' '. ~.-:-.· ., ••. -. r· . . '· .; -' . King Estate, 15 'Fid. Rep. 462 (Delaware County) Checking acc~unt in name Albert T. King, or John A. King (survivor) as joipt tenants with right of survivorship. Heirs contended , that the account had been established in joint names by dece·dent shortly before his death, so that regardless of.his physical condition; checks could be drawn by his brother to pay bills. Held, admissions of surviving joint ovmer are not barred · from evidence by the parol evidence rule. Coleman Estate, 19 Fid. Rep. 153 (Berks) Bonds ·in question v,rere owned by joint tenancy and the taxability is governed by Sec. 241 of the Act of 1961. Bonds are taxable at 1/2 of their value. Driscoll Estate, 17 Fid. Rep. 439 (1967) Erie County. Mary A. Driscoll (decedent) Margaret Driscoll (sister) survivor. Assets '1.-iere titled in surviving sister's and decedent's names;. and evidence established that the source of .the funds used for purchase (of bonds, etc.) came from the surviving sister and that there ~as actually no intent to give the decedent any title to these .assets at. the time they were acquired. All fr .. e ~~timony p~·esented by the third sister 'has convL."'lced t.'-le hearing judge that although these r.J.ne items were titled in Margaret's and decedent's :names, that the :h.L"'lds belonged at all times exclu- sively to Margaret, the survivor-t.'lat there never was any joint owne:..·shlp of t.'lem and, therefore, none of these funds belong dn the estate of Mary A. D..:iscoll, the decedent, and none of these funds is taxable by the Commonwealth. These assets, along with ot..\ers, were merely listed in both names for fr.e convenience of both parties in the event an err..e:rgency situation arose-which emergency sit- uation never did occur. Tne fact that the source of the funds used to acquire these nine items came f .. ·or.1 t.1.e survivor is not the sole controlling £actor; it is t.'-le i..."1.tent o£ the p<U"ties at the time the nine .items were purchased. There was no intent on the . pa..··t of Margaret to create a joint ownership of these assets, even though' her name. and that o£ the dece- rclent .were placed on . them. ·'· '<#" • ' • .-..)' .• ,. _._,._, The presumption established by Commonwealth's placing its · an .. nr:. , .. a:i:sal in evJ.'·dei1ce · J.S overcome. * ~( ):c Nicholson Estate I 16 Fid. Rep. 345 (1966) (Westmoreland County) )S7 Pa. 119. The evidence produced in this case c1eany ' showed that Mae Wernert had control and posses- sion of the certificates of deposit at all times, that she alone dealt with the bank when the certificates were issued and that McKinley Nichelson had no knowledge of the existence of the certificates. In that situation the certificates were not held jointly with McKinley Nichelson, but, were the sole prop- . erty of Mae Wernert. Therefore, the certificates ap- praised at $10,400 were not subject to Pennsylvania ? . . inheritance tax. Kivlin Estate, 1} Fid. Rep. 408 (1963) Joint· , .•· In the instant case, while the signature card was executed by both parties and did establish a joint account and is prima facie evidence of a gift,. nevertheless the record is convincing and unmis- takable that no gift was intended. Tl)is is not a situation wherein the surviving joint tenan.t is clab.ning the full amount of the balance of the moneys on deposit. To the contrary, he himself, as the fiduciru:y, testified that at no time was it intended that he was to be the beneficiary o£ any gratuity on the part of the decedent, but that the ;.ccotmt was merely created, pursuant to the advice of o:::.e o£ the banl\:' s officers, to enable him, in the event of any disability of the decedent during her li£eti:.-.1e. to withdraw the funds, or any part there- of, for the benefit and welfare of the two minor children of the decedent. The written renunciation by the fiduciary, although equivocal in its terms, makes a complete divestiture of any color of claim to the funds by reason of the original joint deposit. Here lies the crux of the whole issue. The required ·donative intent is completely negatived by the pre- cise and uncontradicted evidence that the creation · of this account was one of convenience. This is further buttressed by the testamentary disposition of the decedent wherein she left her entire estate,· of which this account and investments therefrom constitute the sole asset, to her two children who . are. presently minors. · · The result of the Court's finding was to impose a tax of 2% rather than 15%. -2- ~ ··"' -·· ~--. ; ~ .. ' ,, I '· ' I' ' ' . ~ . ·. .. .. Conoock Estate, 13 Fid. Rep. 414 (Del.) 1963 , . Coppock Estate· ~l'axation -Inheritance -Cash in joint safo deposit bot. ' . '· Cash ($13l,'a2) found in safo deposit box registered in:n:.m<;~s of husband, wiie, and son held to belong to husband .and wi£-o as 'tenants by entireties :ind hence free of inheritance tax, son's name · having been added merely for convenience. (Hunter 2d ·..;. Inhcri• tance Tax 5(c), (d); Gifts Inter Vivos 15(b) ), ... , . . In the Orphans' Court of Delaware County. Estate of Miller Coppock, deceased. Appeal from inheritance tax appraisement. No, 208 of 19~~~;,. · :•: ,~-:·: ·. ; ''<·-· .... __ _ 11. The contents of the safe deposit box be· longed to decedent and his wife as tenants by the entireties, the son's name having been added merely for convenience at a time when his parents were going away.on vacation. 12. The son does not c:<.~m ownership of or any interest in the cash found in the safe deposit . box at decedent's death amounting to $131,412 Ol' any part thereof. Although the "Joint Tenancy Agreement" may be prima facie evidence of the ownership of the contents of the safe deposit box, such presumption was clearly rebutted by competent testimony in this case, and it is abundantly ~lear-that the con· tents of the box constituted property of decedent and his wife held by them as tenants by the entire- ties, which property is not. subject to the transfer inheritance tax of the Commonwealth of Pennsyl· ' vania. The appeal must, therefore, be sustained. ¥ . Enrrons' Non:: See Kiolin Est., 13 Fmvc. REP. 408; Pa. Inhcritanc6 ar.d Estata Tax, H 241-6, 241·9, 311-l.l, 3ll-3.3 (Bi$el Co., HlGl). Slifer Estat~ 34 D. & C. 2nd 391, Philadelphia 1964: Judge Shoyer quotes: "Any doubt as to taxability is· removed by Section 312, \':hich provides: "Property held in name of decedent who had no beneficial interest therein i~ exempt from Inh~ritance Tax." ;' -3..; .·',_._., ~·· '-··· ' . ; ' ; •. '.... ~~ 'i • The evidence establishes, and I find as a fact, that Florence S. Goslin was the source of the several items of property found in the safe deposit box, specifically the $8,400 in pape1· currency sought to be taxed. Fur- thel·, there is not a scintilla of evidence to show that :\-Irs. Goslin made any transfer of ownership of this currency to decedent which would subject it to the tax under the quoted section of the taxing statute, anymore than the bank accounts, stocks and bonds found in the box which the Commonwealth conceded were not in· cludible in decedent's taxable estate. Accordingly, the appeal from the assessment of the tax is sustained, and the record is remitted to the · Register of Wills. · .. ·---···-·----------·-.--·'····· • / . . ; -4- .. COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE BUREAU OF COUNTY COLLECTIONS HARRISBURG 17127 October 17, 1969 William R. Chaney, Chief Appraiser Inheritance Tax Division Rooms 243-245 Washington Trust Bldg. S.E. Corner of E. Beau & Main Streets Washington, Pennsylvania 15301 Dear Mr. Chaney: Re: Estate of Hazel A. Sheaf£ Date of Death: 6-8-69 County of Washington Please be advised that this office has received a Protest with respect to the assessment of tax of a joint bank account in the names of Hazel A. Sheaf£ and Sue A. Cowan. Kindly furnish us with a copy of the RCC-134 form filed in this estate so that we may consider the Protest filed in the above estate. BHK/rg Encl. Very truly yours, ~n~o~ Assistant Attorney General For: William S. Brandamore, Director Bureau of County Collections j ' ' '·' ZEMAN AND ZEMAN LAWYERS ZEMAN LAW BUILDING CANONSBURG, PA. 1!5317 WASHINGTON OI'I'ICEa WA8HINGTON TRU.r 8UII.DIN8 WA8HINOTON, PA. ARilA C:ODIC (Ata) 7AS·aAOO AllllA CODIC •ta aaa-•aeo ADOLPH L. ZEMAN ROBERT L. ZEMAN October 13, 1969 P,LIIMIC ADDRU8 AU. COIIRUPONDDICI& TO CANONUU .. OPPIC& -· ' ' ' Department of Revenue 1 ~VV · Harrisburg, Pa. "-' Gentlemen: Pursuant to an appraisement made by you against Sue A. Cowan of Canonsburg, Pa. , \ve v1ish to dispute the tax • as so assessed, in accordance with the provisions in Article X, Section 1001 of the Pennsylvania Inheritance & Estate Tax Act of 1961 and do herewith protest the imposition of the assessment. In support of this protest, we submit herewith a letter addressed to Pennsylvania Inheritance Tax Bureau, \•lashington Trust Building, \'lashington, Pa., under date· of September 19, 1969 over the signature of my counsel, Zeman &. Zeman, Zeman Law Building, Canonsburg, Pa., which sets forth all the de- tails with reference to the accounts which are the subject of the tax assessment. 1,'le presume to enclose copies of the decisions t·oiwhich reference is made in the letter of· Zeman & Zeman, with which you are undoubtedly familiar. If there is any further information that you may require ·. fromuus, please feel free to request the same. SAC/op Encls. . •·I· c i ~ .·.• I "" .. ' • • t ' r~ Yours very truly, LLa~ ,.~-~~ ... -- \ : : • i ~ f ' I i . ... '"\.•'-.· . , ~ . ,., . ..... . .. • ....... ·· .. .. ·' -, . . .. .. .. . ' .. . . ... "'~ I • .• : . l" ..... • • : . . ... • . •" COMMONWE~Al TH OF PENNSYLVANIA . DEPARTMENT OF REVENUE BUREAU OF COUNTY COLLECTIONS HARRISBURG 17127 October 20, 1969 W. R. Chaney, Chief Appraiser Inheritance Tax Division 244 Washington Trust Building Washington, Pennsylvania 15301 Re: Estate of Hazel A. Sheaff Date of Death: 6/8/69 Dear Mr. Chaney: We have your.letter of September 23, 1969 requesting a ruling from this Department as to the taxability of two joint accounts in the Solvenian Savings & Loan Association, Strabane, Pennsylvania, registered in the names of the decedent or Sue A. Cowan. The two accounts were established on November 13, 1968, and the decedent, Hazel A. Sheaff, died on June 8, 1969. A review of the documents submitted with your letter shows that an offi- cial notice of inheritance tax appraisement and assessment of tax was issued on September 11, 1969, wherein the full balance of both accounts was appraised and taxed at 15%. This being so the matter presented in your letter is not one that can be determined administratively. Any party in interest not satisfied with the appraisement or assessment of tax may within sixty days after receipt of the notice of the action complained of, file either a Protest, Notice or Appeal under the provi- sions of Section 1001 of The Inheritance & Estate Tax Act of 1961. Accordingly, the surviving co-owner of these accounts, Sue A. Cowan, through her representative, Adolph L. Zeman, must pursue her objections in accord- ance with the provisions of Section 1001 of the Act. It would be our recommenda- tion that these objections be submitted in the form of a Protest written to the Department of Revenue, sending a copy thereof to the Department of Justice. So that Attorney Zeman may be apprised of the position that we have taken in this matter, we are forwarding a copy of this letter directly to him. RLS/fw CC: Adolph L. Zeman, Esquire For: William s. Brandamore, Director Bureau of County Collections ADOLPH L. ZEMAN ROBERT L. ZEMAN ZEMAN AND ZEMAN LAWYERS ZEMAN LAW BUILDING CANONSBURG, PA. 15317 AREA CODE (412) 745-2400 September 19, 1969 Pennsylvania Inheritance Tax Bureau Washington Trust Building Washington, Pa. -In re: Sue A. Cowan Gentlemen: WASHINGTON OFFICE! WASHINGTON TRUST BUILDING WASHINGTON, PA. AREA CODE 412 2215·41590 PLEASE ADDRESS ALL CORRESPONDENCE TO CANONSBURG OFFICE We represent Sue A. Cowan of'317 Spruce Street, Canonsburg, Pa. who has been served with an official notice of inheritance tax appraisement and assessment of assets not subject to administration, indicating an assessment on $30,000.00 with the taxable amount due of $4500.00. . This assessment is against what is designated in the notice as joint bank account 1(6016) and 2(6015} held in the Slovenian Savings and Loan Association of'Canonsburg, Pennsylvania in the name of Sue A. Cowan or·Hazel A. Sheaff. The notice states that Sue A. Cowan came into possession of the subject property through transfer from Hazel A. Sheaff, deceased. It is evident that you totally misunderstand the factual situation, as this account is not subject to the payment of inheritance taxes. , So that you may understand, we wish to present the follow- ing facts to you. Sue A. Cowan is living. Hazel A. Sheaff is deceased, having died on June 8, 1969. Sue A. Cowan was the elder sister of Hazel A. Sheaff. Sue A. Cowan is physically incapacitated and requires assistance to carry on her ordinary business affairs. Sue A. Cowan inherited from her husband, the late Ben Cowan, who died on July 17, 1965, the sum of $30,000.00. Purely as a matter of convenience, Sue A. Cowan transferred accounts Nos. 6015 and 6016 to Sue A. Cowan· or Hazel A. Sheaff as joint tenants with the right of survivorship bue not as tenants in common. Upon the death of Hazel A. Sheaff, the account}were transferred by Sue A. Cowan to Sue A. Cowan or Lloyd L. Sheaff, accounts Nos. 6348 and 6349, as joint tenants with the right of survivorship but not as tenants in common. Lloyd L. Sheaff was the husband of Hazel A. Sheaff and the brother-in-law of Sue A. Cowan. Obviously, this transfer was made for the same purpose as the previous one, as a convenience to Sue A. Cowan because of her condition. . . Pennsylvania Inheritance 7ax Bureau September 19, 1969 Page Two On July 1, 1969, Sue A. Cowan by account No. 6360 transferred said balance of $30,000.00 into the name of Sue.A. Cowan. It would, accordingly appear .that all of the money in these accounts at all times was the sole property of Sue A. Cowan and neither Hazel A. Sheaff nor Lloyd L. Sheaff ever contributed anything t0 these accounts; that there was never a gift made to Hazel A .. Sheafi"' or Lloyd L. ::lhe 'i.f'f ·~!!!" 1 •· :-.~ • ·• 1~ ~;. .• H·,•" . ...,Pre opened in the manner .:..n \-which trley Wf!re sc,..1.t: .... y l<A tlle ... ur.·v(Hd.ence of Sue A. , :owan. We contenQ that under these circumstances, the Department is in error in making an assessment against Sue A. Cowan in any amount whatsoever, as the accounts are not taxable for inheritance tax purposes. It might also be noted, in any event, that even if the acc0unt were ~oint accounts, you have undertaken to ass~ss the accounts for the full value, not one-half of the value, even if we were to assume that these were joint accounts. This is n0t a new matter, but has been before the Courts on several occasions. ~e theref0re would like to refer these cases to y0u ~~0r y·)ur cons ide rat i ~n an j if you cone 1 ude that our position is sound, v·.·e would ask you to rescind your action .in making the assessment, informing us of your action; otherwise we will be constrained to take an appeal. The cases are described in the enclosed xeroxed sheets. \ ALZ:md Enclosure Yours truly, /