Mahlon Pitney

“ Field at the time of her death, nor subject to distribution as part of her estate, was not taxable under clause (a) .
We deem it equally clear that it was not within clause (b) . That clause is the complement of (a) , and is aptly descriptive of a transfer of an interest in decedent's own property in his lifetime, intended to take effect at or after his death. It cannot, without undue laxity of construction, be made to cover a transfer resulting from a testamentary execution by decedent of a power of appointment over property not his own. ”

“ The chief reliance of the government is upon the rule, well established in England and followed generally, but not universally, in this country, that where one has a general power of appointment either by deed or by will, and executes the power, equity will regard the property appointed as part of his assets for the payment of his creditors in preference to the claims of his voluntary appointees. ”

“ The Revenue Act of 1916, in section 201 (39 Stat. 777) , imposes a tax equal to specified percentages of the value of the net estate 'upon the transfer of the net estate of every decedent dying after the passage of this act.' By section 203 (page 778) the value of the net estate is to be determined by subtracting from the value of the gross estate certain specified deductions. ”