The United States District Court for the District of Utah, Central Division, has to date published four opinions in United States v. Mary Carol S. Johnson, et al, Case 2:11-cv-00087-CW:

United States v. Mary Carol S. Johnson, et al (2012) - Memorandum Decision and Order, May 23, 2012;

United States v. Mary Carol S. Johnson, et al (2013) - Amended Memorandum Decision and Order, July 29, 2013;

United States v. Mary Carol S. Johnson, et al (2016) - Memorandum Decision and Order: Cross Motions for Summary Judgment and Defendants' Motion for Reconsideration, December 01, 2016;

United States v. Mary Carol S. Johnson, et al (2018) - Memorandum Decision and Order re Litigation Fees and Costs, January 08, 2018; and

United States v. Mary Carol S. Johnson, et al (2019) - Appeals from the United States District Court for the District of Utah, March 29, 2019.

Background

The decedent, Hazel Anna S. Smith, was a United States citizen domiciled in Utah who died September 2, 1991. The estate tax return was timely filed on June 1,1992. The reported gross estate was $15,958,765, of which $11,508,400 was attributable to a closely held business in the form of shares of stock in State Line Hotel, Inc., a hotel casino in Nevada. The stock was held in the Anna Smith Family Trust, a revocable trust created by the Decedent in 1982. At the time immediately before the Decedent's death she was sole trustee and sole beneficiary of the Trust. Upon the Decedent's death, Mary Carol S. Johnson and James W. Smith, Decedent's children, were named in the Trust as successor trustees. The Decedent's will also named Johnson and Smith as Personal Representatives of her Estate.

Pursuant to directions in the Trust Agreement, the Trustees timely filed the estate tax return together with a section 6166(a) election to extend the time for payment of estate tax attributable to the closely held business interest in installments over 14 years. The section 6166(a) election was tentatively allowed by IRS (most likely at Ogden Service Center), pending completion of IRS Examination review of the return. Interest only was payable each June 2 from 1993 through 1996. The first installment of tax was due June 2, 1997 and the final installment was due June 2, 2006.

(This narrative will continue to be updated.)