Frazier

MEMORANDUM *

Petitioner Frazier, representative of decedent’s estate, appeals the decision of the Tax Court finding that several structures built on decedent’s land were not removable trade fixtures within the meaning of Cal. Civ.Code § 1019 and were thus taxable improvements to the decedent’s estate. Because we find that the improvements are removable trade fixtures, we reverse.

The relevant facts in this case were stipulated, and the only question before the Tax Court was whether under those facts, the improvements were removable trade fixtures under § 1019. We thus review this question of law de novo. See, e.g., Diamond v. City of Taft, 215 F.3d 1052, 1055 (9th Cir.2000).

Under California law, an individual may remove fixtures from a leasehold if those fixtures were (1) for the purpose of trade, (2) removable without injury to the premises, and (3) considering the method of attachment, not an integral part of the real property. Cal. Civ.Code § 1019. The parties stipulated, and the trial court found, that the fixtures were for the purpose of trade and that the premises would not be injured by their removal. The only criterion at issue was thus whether they were an integral…