Form 706 (Rev. 11-01)
SCHEDULE R—Generation-Skipping Transfer Tax
Note: To avoid application of the deemed allocation rules, Form 706 and Schedule R should be filed to allocate the GST exemption
to trusts that may later have taxable ter minations or distributions under section 2612 even if the form is not required to be
filed to report estate or GST tax.
The GST tax is imposed on taxable transfers of interests in property located outside the United States as well as property
located inside the United States.
See instructions beginning on page 19.
Part 1—GST Exemption Reconciliation (Section 2631) and Section 2652(a)(3) (Special QTIP) Election
You no longer need to check a box to make a section 2652(a)(3) (special QTIP) election. If you
list qualifying property in Part 1, line 9, below, you will be considered to have made this election.
See page 20 of the separate instructions for details.
1
1
Maximum allowable GST exemption
2
2
Total GST exemption allocated by the decedent against decedent’s lifetime transfers
3
Total GST exemption allocated by the executor, using Form 709, against decedent’s lifetime
3
transfers
4
4
GST exemption allocated on line 6 of Schedule R, Part 2
5
5
GST exemption allocated on line 6 of Schedule R, Part 3
6
6
Total GST exemption allocated on line 4 of Schedule(s) R-1
7
7
Total GST exemption allocated to intervivos transfers and direct skips (add lines 2–6)
8
GST exemption available to allocate to trusts and section 2032A interests (subtract line 7 from
8
line 1)
Allocation of GST exemption to trusts (as defined for GST tax purposes):
9
A
B
C
D
E
Additional GST
Trust’s inclusion
GST exemption
Name of trust
Trust’s
exemption allocated
ratio (optional—see
allocated on lines 2–6,
EIN (if any)
(see instructions)
instructions)
above (see instructions)
9D
9D
Total. May not exceed line 8, above
10
GST exemption available to allocate to section 2032A interests received by individual beneficiaries
(subtract line 9D from line 8). You must attach special use allocation schedule (see instructions)
10
Schedule R—Page 33
(The instructions to Schedule R are in the separate instructions.)