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United States forms

Form detail

IRS Form 706

United States Estate (and Generation-Skipping Transfer) Tax Return

Country

United States

Revision year

2024

Methods

paper

Updated

2026-05-20

United States Estate (and Generation-Skipping Transfer) Tax Return

Federal estate tax return used to compute estate tax liability and to elect portability of the deceased spouse's unused exclusion amount (DSUE).

Who must file: Executors of estates of U.S. citizens or residents whose gross estate plus adjusted taxable gifts exceeds the applicable filing threshold for the year of death, and executors who wish to make a portability election even if no tax is due.

Practical overview

Even when the federal estate tax exclusion is high, executors often file Form 706 solely to preserve portability of the unused exclusion for a surviving spouse, which can shield substantial future appreciation. Valuation of closely-held businesses, real estate, and life insurance is a frequent audit issue, and missed alternate valuation date elections under IRC § 2032 cannot be unwound. Generation-skipping transfer tax allocation is reported on Schedules R and R-1.

Practical steps

  • Inventory all assets owned at death, including life insurance under IRC § 2042 and revocable trust assets.
  • Obtain qualified appraisals of real estate, closely-held businesses, and other illiquid assets.
  • Decide on alternate valuation date and special-use valuation elections.
  • Compute the gross estate, deductions, taxable estate, and applicable credit.
  • If electing portability, ensure the timely filed return contains a complete and proper election.

Due-date notes

9 months after the date of death.

Timing: date-of-death+9mo

Extension reference: Form 4768 (6-month automatic)

Penalty snapshot

Failure-to-file and failure-to-pay penalties under IRC § 6651; valuation misstatement penalties under IRC § 6662 for substantial or gross undervaluation.

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Important disclaimer

This library is for general tax education only. Always verify filing obligations, due dates, and tax consequences against the cited primary source or with a qualified tax professional.