citizens, one spouse can make unlimited tax-free transfers during life or at death to the other spouse as a result of the marital deduction
that applies to transfers between spouses.
Claiming the marital deduction
for gift and estate tax purposes
6/26/13), a case that dealt with the estate tax marital deduction
set forth in Sec.
One of the first lines on a tax return is the Filing status, which can tell its whether our client qualifies for the estate taxes "unlimited marital deduction
Perhaps the most important item for advisers is to be certain that any trust for the benefit of the surviving spouse that is to hold retirement plan benefits qualifies for the marital deduction
Example Four: Determination of Net Income of an Estate in Marital Deduction
The key remaining prohibitions are that income cannot be decreased in a trust qualifying for the marital deduction
or a charitable deduction, or where the trustees are all beneficiaries of the trust.
2) In essence these provisions greatly restrict the availability of the marital deduction
for such interspousal transfers; and prescribe that, where such transfers do qualify for the marital deduction
, potentially severe tax consequences may ensue.
A married person's estate is allowed an unlimited marital deduction
for the value of property transferred to the surviving spouse at death.
citizens to make bequests to their spouse and receive an unlimited federal estate tax marital deduction
for all transfers to the surviving spouse (Sec.
Both presidential candidates and Congress have made it clear that the federal estate tax is here to stay, and marital deduction
trusts will continue to be an important part of estate planning.
New features include IRC Chapter 14 -- Special Valuation Rules and its effect on value freezing as well as a new marital deduction
chapter detailing the latest developments affecting QTIPS.