Instructions For Form 706 - United States Estate (And Generation-Skipping Transfer) Tax Return - 2011 Page 5
ADVERTISEMENT
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43Worksheet TG— Taxable Gifts Reconciliation
(To be used for lines 4 and 7 of the Tax Computation)
Note. For the definition of a taxable gift, see section 2503. Follow Form 709. That
a.
b.
is, include only the decedent’s one-half of split gifts, whether the gifts were made
by the decedent or the decedent’s spouse. In addition to gifts reported on Form
Calendar year or
Total taxable gifts for
709, you must include any taxable gifts in excess of the annual exclusion that
calendar quarter
period (see Note)
were not reported on Form 709.
c.
d.
e.
f.
Taxable amount
Taxable amount
included in col. b for
Gift tax paid by
Gift tax paid by
included in col. b
gifts that qualify for
decedent on gifts
decedent’s spouse on
for gifts included
“special treatment of
in col. d
gifts in col. c
in the gross estate
split gifts” described
Total taxable gifts
1.
below
made before 1977
2.
Totals for gifts made after 1976
Line 4 Worksheet—Adjusted Taxable Gifts Made After 1976
1
Taxable gifts made after 1976. Enter the amount from Worksheet TG, line 2, column b
1.
Taxable gifts made after 1976 reportable on Schedule G. Enter the amount
2.
2
from Worksheet TG, line 2, column c
Taxable gifts made after 1976 that qualify for “special treatment.” Enter the
3.
3
amount from Worksheet TG, line 2, column d
4
Add lines 2 and 3
4.
Adjusted taxable gifts. Subtract line 4 from line 1. Enter here and on Part 2—Tax Computation,
5.
line 4
5
death taxes and claim the deduction
1. Certificate of the proper officer of
taxable gifts to compute totals that will
within 4 years after the return is filed, or
the taxing state, or the District of
be used for the Line 4 Worksheet and
later (see section 2058(b)) if:
Columbia, showing the:
the Line 7 Worksheet .
•
A petition is filed with the Tax Court
a. Total amount of tax imposed
You must have all of the decedent’s
of the United States,
(before adding interest and penalties
gift tax returns (Form 709) before you
•
You have an extension of time to
and before allowing discount),
complete Worksheet TG — Taxable
pay, or
b. Amount of discount allowed,
Gifts Reconciliation. The amounts you
•
You file a claim for refund or credit of
c. Amount of penalties and interest
will enter on Worksheet TG can usually
an overpayment which extends the
imposed or charged,
be derived from these returns as filed.
deadline for claiming the deduction.
d. Total amount actually paid in
However, if any of the returns were
cash, and
audited by the IRS, you should use the
Note. The deduction is not subject to
e. Date of payment.
amounts that were finally determined as
dollar limits.
2. Any additional proof the IRS
a result of the audits.
If you make a section 6166 election
specifically requests.
In addition, you must make a
to pay the federal estate tax in
You should file the evidence
reasonable inquiry as to the existence
installments and make a similar election
requested above with the return, if
of any gifts in excess of the annual
to pay the state death tax in
possible. Otherwise, send it as soon
exclusion made by the decedent (or on
installments, see section 2058(b) for
after you file the return as possible.
behalf of the decedent under a power
exceptions and periods of limitation.
of attorney) for which no Forms 709
Line 6
If you transfer property other than
were filed. Include the value of such
cash to the state in payment of state
gifts in column b of Worksheet TG. The
To figure the tentative tax on the
inheritance taxes, the amount you may
annual exclusion per donee for 1977
amount on line 5, use Table A —
claim as a deduction is the lesser of the
through 1981 was $3,000, $10,000 for
Unified Rate Schedule, above, and put
state inheritance tax liability discharged
1981 through 2001, $11,000 for 2002
the result on this line.
or the fair market value (FMV) of the
through 2005, and $12,000 for 2006
property on the date of the transfer. For
Lines 4 and 7
through 2008. For 2009 and 2010, the
more information on the application of
annual exclusion for gifts of present
Three worksheets are provided to help
such transfers, see the principles
interest is $13,000 per donee.
you compute the entries for these lines.
discussed in Revenue Ruling 86-117,
You need not file these worksheets with
How to Complete Line 7 Worksheet
1986-2 C.B. 157, prior to the repeal of
your return but should keep them for
Column (a) Beginning with the earliest
section 2011.
your records. Worksheet TG — Taxable
year in which taxable gifts were made,
You should send the following
Gifts Reconciliation allows you to
enter the quarter/year of the prior
evidence to the IRS:
reconcile the decedent’s lifetime
gift(s).
-5-
Part Instructions
ADVERTISEMENT
0 votes
Related Articles
Related forms
Instructions For Form 706 - United States Estate (and Generation-skipping Transfer) Tax Return - 2008
Financial
Instructions For Form 706 - United States Estate (and Generation-skipping Transfer) Tax Return - 2005
Financial
Related Categories
Parent category: Financial