Instructions For Schedule E (Form Rev 85 0046) - Jointly Owned Property - Washington Department Of Revenue


Instructions for Schedule E — Jointly Owned
Part 2—Other joint interests. All joint interests that were not
entered in Part 1 must be entered in Part 2.
For each item of property, enter the appropriate letter A, B, C,
If you are required to file Form 85 0046, you must complete
etc., from line 2a to indicate the name and address of the
Schedule E and file it with the return if the decedent owned any
surviving co-tenant.
joint property at the time of death, whether or not the
decedent's interest is includible in the gross estate.
Under "Description," describe the property as required in the
instructions for Schedules A, B, C, and F for the type of
Enter on this schedule all property of whatever kind or
property involved.
character, whether real estate, personal property, or bank
accounts, in which the decedent held at the time of death an
In the "Percentage includible" column, enter the percentage of
interest either as a joint tenant with right to survivorship or as a
the total value of the property that you intend to include in the
tenant by the entirety.
gross estate.
Do not list on this schedule property that the decedent held as
Generally, you must include the full value of the jointly owned
a tenant in common, but report the value of the interest on
property in the gross estate. However, the full value should not
Schedule A if real estate, or on the appropriate schedule if
be included if you can show that a part of the property
personal property. Similarly, community property held by the
originally belonged to the other tenant or tenants and was
decedent and spouse should be reported on the appropriate
never received or acquired by the other tenant or tenants from
Schedules A through I. The decedent's interest in a partnership
the decedent for less than adequate and full consideration in
should not be entered on this schedule unless the partnership
money or money's worth, or unless you can show that any part
interest itself is jointly owned. Solely owned partnership
of the property was acquired with consideration originally
interests should be reported on Schedule F, "Other
belonging to the surviving joint tenant or tenants. In this case,
Miscellaneous Property."
you may exclude from the value of the property an amount
proportionate to the consideration furnished by the other tenant
Part l-Qualified joint interests held by decedent and
or tenants. Relinquishing or promising to relinquish dower,
spouse. Under section 2040(b)(2), a joint interest is a
curtesy, or statutory estate created instead of dower or curtesy,
qualified joint interest if the decedent and the surviving spouse
or other marital rights in the decedent's property or estate is
held the interest as:
not consideration in money or moneys worth. See the
• Tenants by the entirety, or
Schedule A instructions for the value to show for real property
that is subject to a mortgage.
• Joint tenants with right of survivorship if the decedent
and the decedent's spouse are the only joint tenants.
If the property was acquired by the decedent and another
person or persons by gift, bequest, devise, or inheritance as
Interests that meet either of the two requirements above
joint tenants, and their interests are not otherwise specified by
should be entered in Part 1. Joint interests that do not meet
law, include only that part of the value of the property that is
either of the two requirements above should be entered in Part
figured by dividing the full value of the property by the number
of joint tenants.
Under "Description," describe the property as required in the
If you believe that less than the full value of the entire property
instructions for Schedules A, B, C, and F for the type of
is includible in the gross estate for tax purposes, you must
property involved. For example, jointly held stocks and bonds
establish the right to include the smaller value by attaching
should be described using the rules given in the instructions to
proof of the extent, origin, and nature of the decedent's interest
Schedule B.
and the interests of the decedent's co-tenant or co-tenants.
Under "Alternate value" and "Value at date of death," enter the
In the "Includible alternate value" and "Includible value at date
full value of the property.
of death " columns, you should enter only the values that you
You cannot claim the special treatment under section
believe are includible in the gross estate.
2040(b) for property held jointly by a decedent and a surviving
spouse who is not a U.S. citizen, You must report these joint
interests on Part 2 of Schedule E, not Part 1.
Schedule E
REV 85 0046 (6-03-03)
Page 18


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