I’ve created a new on-line service that provides specialized calculators for certain estate and tax planning issues. Currently, the following calculators are available: Cost/Benefit of Gifts of Appreciating Property Cost/Benefit of Grantor Trusts Gift Tax on Net-Net Gifts Income Tax … Continue reading
Tag Archives: Federal estate tax
Up until the Tax Reform Act of 1986, grantor trust status was something to be avoided, but thanks to rulings by the Internal Revenue Service, intentionally creating a grantor trust is now an accepted estate and gift tax planning strategy. … Continue reading
The Department of the Treasury has released interim guidance on the discharge of federal estate tax liens under IRC section 6324(a). Unlike other federal tax liens, the federal estate tax lien arises immediately at death, without any assessment, notice or … Continue reading
The Oklahoma Supreme Court has held that a decedent’s unused federal estate tax exclusion amount (referred to in IRC section 2010 as the “deceased spousal unused exclusion amount,” or “DSUE”) is an asset of the decedent’s estate that the administrator … Continue reading
In Notice 2017-12 (1/6/2017), 2017-4 IRB ___ (1/23/2017), the IRS has confirmed that an estate tax account transcript showing transaction code “421” may be relied upon as the functional equivalent of an estate tax closing letter, and explains how to … Continue reading
With the release of the Consumer Price Index for August 2016, it’s possible to calculate various inflation adjustments for 2017. The following are the significant federal estate planning numbers: The base applicable exclusion amount (and generation-skipping tax exemption) will be … Continue reading
The American College of Trust and Estates Counsel (ACTEC) has sent comments to the Internal Revenue Service on the proposed regulations for basis reporting by estates. Comments on Proposed Regulations Under Sections 1014(f) and 6035 (5/27/2016). These comments should be … Continue reading
The IRS has announced that the deadline for filing Form 8971, and for providing Schedule A to beneficiaries, previously postponed to February 29 by Notice 2015-57, and then postponed to March 31 by Notice 2016-19, has again been postponed, this … Continue reading
In Notice 2016-19, , 2016-09 I.R.B. ___, the IRS has again postponed the due date for basis reporting (i.e., filing Forms 8971), this time to March 31, 2016. The notice (which is stated to be effective February 11, 2016) also … Continue reading
The IRS has released the new Form 8971 (and its instructions) for executors to use to report federal estate tax values as required by new IRC section 6035. The Form 8971 is filed with the IRS, and a separate Schedule … Continue reading