KeRN, Judge:
In these proceedings, consolidated for hearing and opinion, the Commissioner determined deficiencies as follows:
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The deficiencies determined against petitioners Charlotte Maloney and Eleanor McClatchy involve the year 1942 by virtue of the provisions of the Current Tax Payment Act of 1943. The estate of Ella K. McClatchy claims overpayment of the 1943 income and victory tax in the amount of $1,912.12.
The first issue, raised on behalf of all petitioners, is whether deductions may be taken in the year 1942 for payment of income taxes to the State of California assessed against Charles K. and Ella K. McClatchy, both deceased.
The second issue, raised on behalf of the estate of Ella K. Mc-Clatchy, is whether the estate may deduct from gross income interest on an inheritance tax deficiency assessed by the State of California.
An issue involving receipt of dividends by petitioners has been abandoned.
It is stipulated that in the determination of deficiency respondent did not give the estate of Ella K. McClatchy credit for the payment in February 1947 of additional income taxes, computed on items not here in issue, in the amount of $1,669.93 for the year 1942, and additional income and victory taxes in the amount of $1,064.50 for the year 1943, together with interest in the respective amounts of $362.05 and $166.92. Similarly, the respondent in his answer admits that petitioner Eleanor McClatchy received in January 1947 “a demand from the collector at San Francisco for 1943 tax due and payable in the amount of $2,546.52. This demand (plus interest of $399.31) was paid in February 1947.” Respondent makes no reference to these matters in his brief. We understand that the issues raised by petitioners in connection therewith are conceded by respondent.
The facts were stipulated and the proceedings were submitted for decision under Rule 30. We find the facts to be as stipulated. We refer only to such facts as are necessary for our determination.
Petitioners Eleanor McClatchy and Charlotte Maloney are the beneficiaries of testamentary trusts Nos. 1 and 2, respectively, of three testamentary trusts created by Charles K. McClatchy, who died April 27, 1936. Each trust received one-third of his estate. These petitioners are also the executrices of the estate of Ella K. McClatchy, who died September 23, 1939. They represent the estate, which is the third petitioner herein. The returns in question were filed with the collector for the first district of California, at San Francisco.
The Franchise Tax Commissioner of the State of California, acting pursuant to section 34 of the California Personal Income Tax Act of 1935, assessed additional state income taxes against Charles K. Mc-Clatchy and Ella K. McClatchy after their deaths, as follows:
Payment of these taxes was protested and withheld pending the determination of the constitutionality of section 34 of the California Personal Income Tax Act of 1935.
On March 7, 1941, the Supreme Court of California determined that section 34 was constitutional. Payment on behalf of the two decedents was made on May 5, 1942, as follows:
No claim for the deduction of the taxes assessed against Charles K. McClatchy and paid by the three testamentary trusts was made in that decedent’s final Federal income tax returns, filed March 15, 1937, or in that decedent’s Federal estate tax return, which was filed July 24, 1937, and finally settled May 14, 1940. Deductions on account of the payment of these taxes plus interest were taken in 1942 by the parties paying them in that year.
The Commissioner increased the income distributable to petitioners Eleanor McClatchy and Charlotte Maloney from the Charles K. Mc-Clatchy trusts Nos. 1 and 2, respectively, in the amount of $1,747.14, each for the year 1942.
No consents or waivers were filed pursuant to section 134 of the 1942 Revenue Act, or section 126 of the Internal Revenue Code, and the appropriate regulations.
The Commissioner allowed the estate of Ella K. McClatchy a deduction for 1942 Federal income tax purposes of $1,113.92 representing interest on the state income tax deficiency accrued after the death of Ella K. McClatchy. The deduction of the $7,110.22 state income tax and $1,150.67 of the total interest thereon was disallowed.
Section 34 of the California Personal Income Tax Act of 1935 was repealed in 1937.
In December 1942 the state tax commissioner assessed additional deficiencies in income tax against Ella K. McClatchy as follows:
These amounts were paid by the estate and claimed as a deduction in 1943. The Commissioner disallowed the deduction of the state income tax in the total amount of $814.82 and $7.22 of the interest that had accrued before the death of Ella K. McClatchy.
Ella K. McClatchy’s final Federal income tax return covering the year 1939 up to the time of her death was filed March 15, 1940. On October 9, 1945, the estate filed a claim for refund of income tax allegedly overpaid in the amount of $5,788.28 for the year 1939. The refund was denied January 6, 1947. Her Federal estate tax return was filed December 20, 1940, and a closing agreement was effected June 11, 1942. The deductions in question were not taken in either the final income tax return or the estate tax return. No waivers or consents were filed pursuant to section 134 of the Revenue Act of 1942 or section 126 of the Internal Revenue Code and the applicable regulations.
In December 1943 additional California inheritance tax of $5,304.41, plus interest of $2,223.41, was assessed and paid in 1943 in connection with the estate of Ella K. McClatchy. The beneficiaries of the Charles K. McClatchy trusts were also the beneficiaries of three trusts created by the last will of Ella K. McClatchy. The tax and interest were paid by the McClatchy newspapers and charged against the three testamentary trusts of Charles K. McClatchy. The three trusts claimed a deduction of the interest in their returns for 1943 which was disallowed by the Commissioner.
On June 1, 1944, the petitioner estate contended that the payments were improperly made by the trusts, and accordingly the McClatchy newspapers corrected these charges on their books and showed them made against petitioner estate. The estate now claims the deduction for 1943 of the interest on the inheritance taxes. No other claim for the interest deduction has been allowed.
The returns in question were filed on the cash receipts and disbursements basis.
Both parties are in apparent agreement that the deductions claimed for the year 1942 on account of the payments of state income taxes assessed against the decedents, Charles K. and Ella K. McClatchy, together with interest accrued prior to their deaths, must be supported by the provisions of sections 23 (w) and 126, added to the Internal Revenue Code by section 134 of the Revenue Act of 1942,1 since both taxes and interest were assessed against the decedents and not against the entities which made. the payments on account thereof. See Herbert G. Perry et al., Executors, 32 B. T. A. 513; Estate of Jacob S. Hoffman, 36 B. T. A. 972; Helvering v.
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KeRN, Judge:
In these proceedings, consolidated for hearing and opinion, the Commissioner determined deficiencies as follows:
[[Image here]]
The deficiencies determined against petitioners Charlotte Maloney and Eleanor McClatchy involve the year 1942 by virtue of the provisions of the Current Tax Payment Act of 1943. The estate of Ella K. McClatchy claims overpayment of the 1943 income and victory tax in the amount of $1,912.12.
The first issue, raised on behalf of all petitioners, is whether deductions may be taken in the year 1942 for payment of income taxes to the State of California assessed against Charles K. and Ella K. McClatchy, both deceased.
The second issue, raised on behalf of the estate of Ella K. Mc-Clatchy, is whether the estate may deduct from gross income interest on an inheritance tax deficiency assessed by the State of California.
An issue involving receipt of dividends by petitioners has been abandoned.
It is stipulated that in the determination of deficiency respondent did not give the estate of Ella K. McClatchy credit for the payment in February 1947 of additional income taxes, computed on items not here in issue, in the amount of $1,669.93 for the year 1942, and additional income and victory taxes in the amount of $1,064.50 for the year 1943, together with interest in the respective amounts of $362.05 and $166.92. Similarly, the respondent in his answer admits that petitioner Eleanor McClatchy received in January 1947 “a demand from the collector at San Francisco for 1943 tax due and payable in the amount of $2,546.52. This demand (plus interest of $399.31) was paid in February 1947.” Respondent makes no reference to these matters in his brief. We understand that the issues raised by petitioners in connection therewith are conceded by respondent.
The facts were stipulated and the proceedings were submitted for decision under Rule 30. We find the facts to be as stipulated. We refer only to such facts as are necessary for our determination.
Petitioners Eleanor McClatchy and Charlotte Maloney are the beneficiaries of testamentary trusts Nos. 1 and 2, respectively, of three testamentary trusts created by Charles K. McClatchy, who died April 27, 1936. Each trust received one-third of his estate. These petitioners are also the executrices of the estate of Ella K. McClatchy, who died September 23, 1939. They represent the estate, which is the third petitioner herein. The returns in question were filed with the collector for the first district of California, at San Francisco.
The Franchise Tax Commissioner of the State of California, acting pursuant to section 34 of the California Personal Income Tax Act of 1935, assessed additional state income taxes against Charles K. Mc-Clatchy and Ella K. McClatchy after their deaths, as follows:
Payment of these taxes was protested and withheld pending the determination of the constitutionality of section 34 of the California Personal Income Tax Act of 1935.
On March 7, 1941, the Supreme Court of California determined that section 34 was constitutional. Payment on behalf of the two decedents was made on May 5, 1942, as follows:
No claim for the deduction of the taxes assessed against Charles K. McClatchy and paid by the three testamentary trusts was made in that decedent’s final Federal income tax returns, filed March 15, 1937, or in that decedent’s Federal estate tax return, which was filed July 24, 1937, and finally settled May 14, 1940. Deductions on account of the payment of these taxes plus interest were taken in 1942 by the parties paying them in that year.
The Commissioner increased the income distributable to petitioners Eleanor McClatchy and Charlotte Maloney from the Charles K. Mc-Clatchy trusts Nos. 1 and 2, respectively, in the amount of $1,747.14, each for the year 1942.
No consents or waivers were filed pursuant to section 134 of the 1942 Revenue Act, or section 126 of the Internal Revenue Code, and the appropriate regulations.
The Commissioner allowed the estate of Ella K. McClatchy a deduction for 1942 Federal income tax purposes of $1,113.92 representing interest on the state income tax deficiency accrued after the death of Ella K. McClatchy. The deduction of the $7,110.22 state income tax and $1,150.67 of the total interest thereon was disallowed.
Section 34 of the California Personal Income Tax Act of 1935 was repealed in 1937.
In December 1942 the state tax commissioner assessed additional deficiencies in income tax against Ella K. McClatchy as follows:
These amounts were paid by the estate and claimed as a deduction in 1943. The Commissioner disallowed the deduction of the state income tax in the total amount of $814.82 and $7.22 of the interest that had accrued before the death of Ella K. McClatchy.
Ella K. McClatchy’s final Federal income tax return covering the year 1939 up to the time of her death was filed March 15, 1940. On October 9, 1945, the estate filed a claim for refund of income tax allegedly overpaid in the amount of $5,788.28 for the year 1939. The refund was denied January 6, 1947. Her Federal estate tax return was filed December 20, 1940, and a closing agreement was effected June 11, 1942. The deductions in question were not taken in either the final income tax return or the estate tax return. No waivers or consents were filed pursuant to section 134 of the Revenue Act of 1942 or section 126 of the Internal Revenue Code and the applicable regulations.
In December 1943 additional California inheritance tax of $5,304.41, plus interest of $2,223.41, was assessed and paid in 1943 in connection with the estate of Ella K. McClatchy. The beneficiaries of the Charles K. McClatchy trusts were also the beneficiaries of three trusts created by the last will of Ella K. McClatchy. The tax and interest were paid by the McClatchy newspapers and charged against the three testamentary trusts of Charles K. McClatchy. The three trusts claimed a deduction of the interest in their returns for 1943 which was disallowed by the Commissioner.
On June 1, 1944, the petitioner estate contended that the payments were improperly made by the trusts, and accordingly the McClatchy newspapers corrected these charges on their books and showed them made against petitioner estate. The estate now claims the deduction for 1943 of the interest on the inheritance taxes. No other claim for the interest deduction has been allowed.
The returns in question were filed on the cash receipts and disbursements basis.
Both parties are in apparent agreement that the deductions claimed for the year 1942 on account of the payments of state income taxes assessed against the decedents, Charles K. and Ella K. McClatchy, together with interest accrued prior to their deaths, must be supported by the provisions of sections 23 (w) and 126, added to the Internal Revenue Code by section 134 of the Revenue Act of 1942,1 since both taxes and interest were assessed against the decedents and not against the entities which made. the payments on account thereof. See Herbert G. Perry et al., Executors, 32 B. T. A. 513; Estate of Jacob S. Hoffman, 36 B. T. A. 972; Helvering v. Enright, 312 U. S. 636; Micajah Pratt Clough, Jr., 45 B. T. A. 97; Courtnay Burton, 37 B. T. A. 636.
Respondent contends that, by reason of the plain and unambiguous language of section 134 (g), none of the statutory provisions relied on by petitioners are applicable to tax years beginning prior to December 31, 1942, because no consents required as a prerequiste to such a retroactive application were filed by any of the entities involved in this proceeding. We agree with this contention.
Petitioners argue that the claimed deductions could not have been taken in the final income tax returns of the several decedents, since at that time there was no basis for an accrual of the items in question under the rule later stated by the Supreme Court in Dixie Pine Products Co. v. Commissioner, 320 U. S. 516; that, therefore, there was no election as to their deduction; that, consequently, no such consents as those mentioned in section 134 (g) were necessary; and that, therefore, none should be required.
The short answer to this contention is that consents are required by the cleat and unambiguous language of the statute. As the Supreme Court said in Deputy v. DuPont, 308 U. S. 488: “* * * we can not sacrifice the ‘plain, obvious and rational meaning’ of the statute even for ‘the exigency of a hard case.’ ” See also Taft v. Commissioner, 304 U. S. 351. Nothing in the legislative history or purpose of the statute in question casts doubt upon its meaning. Even if we were permitted to enlarge its meaning by construction (an untenable postulate, see Journal Publishing Co., 3 T. C. 518, 522), we are of the opinion that the general character of the statute requires a narrow, rather than a broad, construction. See Estate of Frances T. Ingraham, 8 T. C. 701; Larkin v. Commissioner, 167 Fed. (2d) 115.
The next issue concerns the deductibility by an estate of interest accrued and paid upon deficiencies in state inheritance taxes. These taxes are not obligations of the estate. See secs. 2, 3, and 9, Act 8495 of the General Laws of California; In re Belville’s Estate, (Cal. App. 1944), 152 Pac. (2d) 229; Cohn v. Cohn, 20 Cal. (2d) 65; 123 Pac. (2d) 833; Estate of Kennedy, 157 Cal. 517, 108 Pac. 280. See also Louise G. Hill, 37 B. T. A. 782. Therefore, the payment of interest by the estate on the inheritance tax deficiencies does not give rise to a deduction by the estate, even though we assume that the interest was paid by the estate in 1943, a matter concerning which we have considerable doubt.
Decision will be entered under Rule 50.