Estate and Gift Tax

Topic Checklist

 

 

 

Chapter 1

 

Whirlwind tour of estate tax

IRC § 2001(a)

IRC § 2051

IRC § 2031(a)

IRC § 2056

IRC § 2055

IRC § 2001(c)

IRC § 2010

Whirlwind tour of gift tax

IRC § 2501

IRC § 2502(a)

IRC § 2001(c)

IRC § 2505

IRC § 2503(b)

IRC § 2523

IRC § 2522

Integration of estate and gift tax

Changing law

Whirlwind tour of GST tax

IRC § 2601

IRC § 2602

IRC § 2641

IRC § 2631

Effect of state law

Morgan

Bosch

Rev. Rul. 73-142

 

 

Chapter 2

 

Gift tax calculation - IRC § 2502(a)(1)

Unified gift tax credit - IRC § 2505

Estate tax calculation - IRC § 2001

Unified estate tax credit - IRC § 2010

De-unification of gift and estate tax

GST taxable events

GST tax rate

GST exclusion

Income taxation of estates and trusts

Basis of transferred property

Grantor trust rules

Kiddie” tax

Non-grantor trusts

 

 

Chapter 3

 

IRC § 2033

Intangible property

Wrongful death claims

Marital property

IRC § 2034

Community property

General powers of appointment - IRC § 2041

Ascertainable standard exception

Valuation

Willing buyer-willing seller

Effect of death on value

Goodman v. Granger

McClatchy

Publicly traded securities

Restricted property

IRC § 2703

IRC § 2704(b)

Cartwright

Closely held businesses

Minority discount

Control premium

Family attribution

Discount for lack of marketability

Rev. Rul. 93-12

Undivided fractional interests

Time-divided interests - IRC § 7520

Alternate valuation date - IRC § 2032

Special use valuation - IRC § 2032A

Estate tax deductions

IRC § 2053 – claims and expenses

            Smith

Claims and mortgages

            Taxes

Hindsight

Proposed regulations

IRC § 2054 – casualty losses

IRC § 2056 – marital deduction

            General requirements

            Terminable interests

            Jackson

            “Delay” clauses - IRC § 2056(b)(3)

            Life estate and general power of appointment - IRC § 2056(b)(5)

            QTIP elections - IRC § 2056(b)(7)

            QTIP inclusions - IRC §§ 2044, 2519

                        Valuation aspects

IRC § 2055 – charitable contributions

                        Contributions of partial interests

            IRC § 2058 – state death taxes

Credit for estate tax on prior transfers - IRC § 2013

Deferred payment - IRC § 6166

 

 

Chapter 4

 

Definition of “gift”

Consideration

Incomplete gifts

Below-market-interest loans - IRC § 7872

Gift splitting - IRC § 2513

Annual exclusion - IRC § 2503(b)

            Present interest requirement

            Non-income-producing property

            Bies

            Crummey powers

            Gifts to minors

Payments of medical expenses and tuition - IRC § 2503(e)

Divorce

Qualified disclaimers - IRC § 2518

            Monroe

Gift tax valuation

            Robinette

            IRC § 2702

 

 

Chapter 5

 

GST defined - IRC § 2611

Direct skips - IRC § 2612(c)

“Skip persons” - IRC § 2613

Generation assignment - IRC § 2651

Calculation and payment of tax on direct skips

Trusts as “skip persons”

Taxable terminations - IRC § 2612(a)

Calculation and payment of tax on taxable terminations

Taxable distributions - IRC § 2612(b)

Calculation and payment of tax on taxable distributions

GST exemption - IRC § 2631

            Inclusion ratio - IRC § 2642

            Allocation of exemption - IRC § 2632

 

 

Chapter 6

 

IRC § 2035

 

 

Chapter 7

 

IRC § 2702 revisited

IRC § 2036(a)(1) - retained income or enjoyment

            Retained interests

            Mechanics of inclusion and valuation

            Retained secondary life estate

            Grantor’s legal obligations

            Support trusts

            Implied agreements - McNichol

Adjustments for consideration - IRC § 2043

Reciprocal trusts

            Grace

            Sather

IRC § 2037 - reversions

IRC § 2035(a) - release of retained interests

            Consideration - Allen (10th Cir.)

 

 

Chapter 8

 

Incomplete gifts revisited

IRC §§ 2036(a)(2), 2038

            Camp

            Helmholz

            Powers of attorney

            Grantor right to substitute as trustee (Farrel)

 

 

Chapter 9

 

Incomplete gifts revisited

            Third-party consent requirements

            Powers limited by ascertainable standards

IRC §§ 2036(a)(2), 2038

            Overlap

            Right to change timing of enjoyment

            Right to remove and replace trustee

            Mere “administrative” powers

            Byrum

            IRC § 2036(b)

           

 

Chapter 10

 

Gift tax consequences of life insurance

            Incomplete gifts

            Completed gifts

Estate tax consequences of life insurance

            IRC § 2042

            Incidents of ownership

            Estate of Noel

            Right to determine timing of benefits

            IRC § 2035 connection

            Estate of Leder

 

 

Chapter 11

 

Gift tax consequences of annuities

            Incomplete gifts

            Completed gifts

Estate tax consequences of annuities

            IRC § 2039

            Adjustment for premiums paid by others

            Estate of Montgomery

            Retirement annuities

            Income tax: IRD problems

 

 

Chapter 12

 

Estate tax aspects of nongrantor powers of appointment

IRC § 2041(b)(1) revisited

            Consent requirements

Gift tax aspects of nongrantor powers of appointment

            IRC § 2514(b)

            IRC § 2514(e)

            “5 or 5” powers

            Crummey powers revisited

Nongeneral” powers

            Estate of Regester       

 

 

Chapter 13

 

Tenancy in common (review)

Gift tax consequences of joint tenancy with right of survivorship

Rev. Rul. 78-362

Estate tax consequences

 IRC §§ 2040(a) and (b)

Goldsborough

Severance

Disclaimers