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type, but must list separate types (e.g.,

a tax rate of 55% (.55) unless all of the

Lines 10 and 11

preferred and common) under separate

following conditions are met:

Using the same revision of Form 706 or

item numbers.

1. The decedent's executor has

Form 706-NA on which the executor filed

designated a single person to be

the decedent's estate tax return,

Column (b)

responsible for filing Form 706-QDT for

recompute the decedent's net estate tax

See the instructions for column (b), Part

all of the trusts (designated filer);

(Form 706, line 21, Part 2, Tax

III, on page 4.

2. That person is either an individual

Computation; or Form 706-NA, line 14,

who is a U.S. citizen or is a domestic

Part II, Tax Computation) by substituting

Column (c)

corporation; and

as instructed the amounts on line 9 and

If this return involves only one trust, enter

3. The person meets the requirements

line 8 of this Form 706-QDT for the

the alternate valuation date only if you

decedent's taxable estate (Form 706, line

of all applicable regulations.

answered “Yes” to question 1 of Elections

3, Part 2, Tax Computation; or line 1, Part

Further, if the return is being filed

by the Trustee/Designated Filer.

II of Form 706-NA).

because of the death of the surviving

If the designated filer is filing this return

Prior year versions of Forms 706 and

spouse, then in computing line 10, any

for multiple trusts, the individual trustees

706-NA can be obtained by calling

state or foreign death taxes paid by the

will complete Part IV, but only the

1-800-TAX-FORM (1-800-829-3676).

estate of the surviving spouse may be

designated filer can elect alternate

used in determining the allowable credits

Note that as a result of the

valuation. To allow the designated filer to

in recomputing the decedent's estate tax,

recomputation, some items other than the

make this decision, the trustee must

if all of the following conditions are met:

taxable estate might be different from

provide on an attachment to Schedule B

what was on the decedent's actual estate

1. This return is being filed because

both the regular and the alternate value

tax return. If the decedent's estate did not

of the death of the surviving spouse;

(and the alternate valuation date) for all

fully use its unified credit, additional

2. Any property remaining in the

assets, unless the designated filer has

unified credit may be allowable in the

QDOT at that time is includible in the

notified the trustee that this is not

recomputation.

estate of the surviving spouse (or would

required.

be includible if the surviving spouse had

Also, if the decedent's estate claimed

Column (d)

been a U.S. citizen or resident);

a credit for tax on prior transfers and the

credit was limited by section 2013(c), the

3. The credit is allowable (or would be

See the instructions for column (c), Part

recomputed credit may be different than

allowable if the surviving spouse had

III, on page 4.

on the return as filed.

been a U.S. citizen or resident) to the

Parts V and VI. Marital and

Also, if the decedent's estate claimed

estate of the surviving spouse with

Charitable Deductions

a credit for state or foreign death taxes

respect to the property referred to in 2,

above; and

and the amount of credit that could be

Marital and charitable deductions are

claimed was limited by section 2011(b)

4. The taxes were actually paid to a

allowable for any property that both

or 2014(b), the recomputed credit may be

state or foreign jurisdiction.

remained in the QDOT on the date of the

different.

surviving spouse's death and was

For details on claiming these credits,

If the final determination of the tax due

includible in the gross estate of the

see the Instructions for Form 706. If you

on the estate of the decedent has not

claim the foreign death tax credit, you

surviving spouse (or would have been

been made at the time this return is filed,

includible if the surviving spouse had

must complete and attach Schedule P

you must compute the tax on these lines

been a U.S. citizen or resident).

(Form 706). If you claim the state death

using a tax rate of 55% (.55).

tax credit, attach your computation and

Do not make an entry in Parts V and

evidence of the credit as described in the

Also, if there is more than one QDOT

VI unless there is an entry in Part IV of

with respect to any decedent, you must

Instructions for Form 706.

Schedule B. Also, the sum of the total of

compute the tax on lines 10 and 11 using

the amounts entered in Parts V and VI

cannot exceed the total of the amount

entered in Part IV of Schedule B.

Table for Computing Tax

For details on the marital and charitable

deductions, see the instructions for

Schedule M and Schedule O of Form 706,

as applicable.

Column A

Column B

Column C

Column D

Schedule A

Rate of tax

Taxable

Tax on

on excess

When a designated filer is filing Form

amount

amount in

over amount

706-QDT for more than one trust, use

over—

not over—

Column A

in Column A

Schedule A to summarize the Schedule

- - - - -

$10,000

- - - - -

18%

B amounts provided by the trustees.

$10,000

20,000

$1,800

20%

Under “EIN of QDOT” enter the EIN of the

20,000

40,000

3,800

22%

appropriate trust. If the trustee is filing the

40,000

60,000

8,200

24%

return, simply transfer the totals from

60,000

80,000

13,000

26%

Schedule B to the corresponding “Total”

80,000

100,000

18,200

28%

lines on Schedule A.

100,000

150,000

23,800

30%

150,000

250,000

38,800

32%

Part III. Tax Computation

250,000

500,000

70,800

34%

500,000

750,000

155,800

37%

(Page 1)

750,000

1,000,000

248,300

39%

1,000,000

1,250,000

345,800

41%

Line 7

1,250,000

1,500,000

448,300

43%

1,500,000

2,000,000

555,800

45%

Enter the amount of the taxable estate

2,000,000

2,500,000

780,800

49%

from line 3, Part 2, Tax Computation, of

the Form 706 (or line 1, Part II, of Form

2,500,000

3,000,000

1,025,800

53%

3,000,000

10,000,000

1,290,800

55%

706-NA) filed for the decedent's estate or

10,000,000

17,184,000

5,140,800

60%

as finally determined by the IRS.

17,184,000

- - - - -

9,451,200

55%

Page 5

Instructions For Form 706-Qdt - U.s. Estate Tax Return For Qualified Domestic Trusts - Internal Revenue Service - 2000 Page 5

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