Estate of Hon Hing Fung v. Commissioner, 117 T.C. 247
Dec 10, 2001OUTCOME: Win
D, a nonresident alien for U.S. tax purposes, possessed at the time of his death interests in certain properties located in the State of California. D’s interests in two of these parcels, one of ... which was subject to a promissory note secured by a deed of trust, were contained in his residuary estate. D’s will provided for his surviving spouse to receive a three-eighths fractional interest in his residuary estate, with the remaining five-eighths going to his sons. In accordance with an agreement executed by the residuary beneficiaries, the two California properties were distributed to D’s surviving spouse while the foreign residuary assets were distributed to D’s sons.
