Supreme Court Rules 9–0 for IRS, Denying Refund in Estate Tax Dispute

Extra revenue created by an estate-planning device that increases the value of a family-held corporation is taxable, the court held.

Supreme Court Associate Justice Clarence Thomas poses for an official portrait at the Supreme Court in Washington on Oct. 7, 2022. Alex Wong/Getty Images

The Supreme Court ruled unanimously in favor of the IRS on June 6 in a dispute over taxing shareholders’ life insurance policies.

Justice Clarence Thomas wrote the court’s 9–0 decision in Connelly v. Internal Revenue Service.