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Supreme Court to review estate tax challenge to Defense of Marriage Act

December 8, 2012

In October, a federal appeals court ruled that a New York widow was unconstitutionally discriminated against because the Defense of Marriage Act (DOMA) forced her to pay more in estate taxes because she was legally married to another woman.

If Edith Windsor had been allowed by the Internal Revenue Service to use the estate tax provisions afforded a surviving spouse in a heterosexual marriage, the estate of her late wife, Thea Spyer, would have passed tax-free to Windsor.

The Wedding Couple by Mike Licht_NotionsCapital via Flickr The Wedding Couple, after Abbot Handerson Thayer and Richard E. Miller
by Mike Licht, NotionsCapital.com via Flickr

Now, as expected, the U.S. Supreme Court will hear Windsor’s case. The justices also agreed to take up another lawsuit invovling California’s Proposition 8 ban
on same-sex marriage.

Many issues to consider: Per instruction from the Obama Administration, the Justice Department has stopped defending DOMA
in court. Republicans in the House of Representatives have taken over the battle.

And that’s one thing — who has standing, i.e., the right to be in court — that the Supreme Court must decide.

Standing also is at stake in the Prop 8 case. California’s governor and state attorney general
have refused to defend the same-sex marriage prohibition in court. A private
coalition of groups supporting the ban, which was overturned by a federal appeals court, filed the appeal.

SCOTUSblog notes that each side in the two cases now has a chance “to make sweeping arguments, for or
against [same-sex] marriages. But the Court left itself the option, at least
during the current Term, of not giving real answers, perhaps because it
lacks the authority to do so.”

You can read more on the two cases and the Supreme Court’s decision to hear them in Lyle Denniston’s post On same-sex marriage, options open.

You also might find these items of interest:

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The More Tax Posts tab at the top of this page will take you to, well, more tax posts. You also can search below for a tax topic. 

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TAX-SAVVY WAYS 
TO WRAP UP 2026

It’s over! With October’s extended filing deadline behind us, it is now time to focus on year-end moves to reduce your 2026 tax bill. 

You’ll find ways to do just that on the Tax Tips page (see the More Tax Posts drop-down menu at the top of the blog), as well as the separate tax tip pages for each month, notably October through December. If you’re on the Tax Tips page, you’ll find a monthly list at the end of this column. If you’re on another blog page, you can head straight to the October tips; at the bottom of that tips page you’ll find links to all the other 11 months’ collections of tax advice.

Not to spoil what you’ll find in that tax advice, but it does cover such things as tax deductions for charitable donations, investment moves that could reduce tax due, and ways to max out your tax-favored retirement savings. 

Finally, as the year winds down, things get hectic. There are lots of other things to occupy our time, like the much more fun upcoming holidays. But don’t lose sight of taxes, since timing is key. To be of use, most tax moves must be made by the end of the tax year. That’s Thursday, Dec. 31, which also is the last business day of the year. 

So that you don’t miss that final tax year deadline, also keep an eye on the countdown clock below. It will keep you on top of just how much time is left to make important, tax-saving moves. (Note: I’m in the Central Time Zone, so adjust accordingly for where you live.)

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