What happens to the present value of a self-canceling installment note at the seller's death?

The present value of a self-canceling installment note at the seller's death is not included in the seller's gross estate because the value at the time of death is effectively zero. A self-canceling installment note is structured so that, upon the death of the seller, any remaining payments due under the note are canceled. This means that the seller's estate has no right to receive additional payments after their death, rendering the note valueless at that time. Therefore, since there is no asset of value left to be included in the gross estate, it effectively results in the present value being zero at death.