Section 6166(b)(6) Adjusted Gross Estate Computation Example 1

Section 6166(b)(6) Adjusted Gross Estate Computation -  Example 1

This is a regular section 6166(b)(6) adjusted gross estate computation without any complications. The return is filed on the statutory return due date and the non-deferred tax is paid with the return.
Feb-17-2016 Date of death
Nov-17-2016 Estate tax return due date and return filing date.

 

Section 6166(b)(6) Adjusted Gross Estate Computation -  Example 1
Gross estate   50,000,000.00
Schedule J -    
  A. Funeral expenses 25,000.00  
  B. 1. Executors' commissions 1,000,000.00  
    2. Attorney fees 1,400,000.00  
    3. Accountant fees 415,000.00  
    4. Miscellaneous    
      a. Appraisals 250,000.00  
      b. Utilities 14,375.00  
      c. Other 1,215.00  
  Total Schedule J 3,105,590.00  
Schedule K - Debts    
  Debts of decedent 144,535.00  
Schedule K - Mortgages and Liens    
  Mortgages 876,550.00  
  Total Schedule K 1,021,085.00  
Total Schedules J and K debts and expenses 4,126,675.00  
Allowable amount of deductions 4,126,675.00  
Schedule L - Net Losses 0  
Schedule L - Expenses on property not subject to claims 0  
Total Schedules J, K, and L debts and expenses 4,126,675.00 4,126,675.00
Section 6166(b)(6) adjusted gross estate   45,873,325.00

 

Section 6166(b)(6) Adjusted Gross Estate Computation -  Example 1
§6166(a)(2) Ratio Computation
Section 6166 business value, divided by   37,500,000.00
Section 6166(b)(6) adjusted gross estate, yields   45,873,325.00
Section 6166(a)(2) ratio - maximum amount of tax which may be paid in installments   0.817469