May 3, 2021
Tax Court rejects IRS valuation of Michael Jackson's estate, increases estate's value by $111m but imposes no penalties
In Estate of Michael Jackson, et al. v. Commissioner, T.C. Memo. 2021-48 (May 3, 2021), the Tax Court held that the value of Michael Jackson's estate was understated by approximately $111m but declined to impose penalties. In determining the estate's value, the court also found that the IRS's expert had significantly over valued the estate by approximately $500m more than the value reported on the estate tax return.
Estate of Michael Jackson v Commissioner