- 2 -
|
Page 2 of 8 Fileid: … s/i706na/202210/a/xml/cycle03/source 14:29 - 19-Sep-2022
The type and rule above prints on all proofs including departmental reproduction proofs. MUST be removed before printing.
lawful permanent resident of the United States (green sections 877 and 2107 and Form 8854 as they existed in
card holder) for income tax purposes in at least 8 of the the relevant tax year for additional information.
last 15 tax years ending with the tax year in which U.S.
income tax residency is terminated. See section 877(e) for Who Must File
more information. The executor must file Form 706-NA if the date of death
value of the decedent’s U.S.-situated assets, together
Executor. An executor is the personal representative,
with the gift tax specific exemption and the amount of
executor, executrix, administrator, or administratrix of the
adjusted taxable gifts, exceeds the filing threshold of
deceased person's estate. If no executor is appointed,
$60,000. The gift tax specific exemption refers to the
qualified, and acting in the United States, every person in
amount allowed for gifts made by the decedent between
actual or constructive possession of any of the decedent's
September 9, 1976, and December 31, 1976, inclusive.
property must file a return. If more than one person must
The amount of adjusted taxable gifts refers to the amount
file, it is preferable that they join in filing one complete
of adjusted taxable gifts made by the decedent after
return. Otherwise, each must file as complete a return as
December 31, 1976.
possible, including a full description of the property and
each person's name who holds an interest in it. When To File
Executors must provide documentation proving their File Form 706-NA within 9 months after the date of death
status. Documentation will vary but may include a certified unless an extension of time to file was granted.
copy of the will or a court order designating the
executor(s). A statement by the executor(s) attesting to If you are unable to file Form 706-NA by the due date,
their status is insufficient. use Form 4768, Application for Extension of Time To File
a Return and/or Pay U.S. Estate (and
U.S. expatriate. Special estate tax rules may apply to Generation-Skipping Transfer) Taxes, to apply for an
decedents who expatriated from the United States prior to automatic 6-month extension of time to file. If you have
death. For these purposes, both U.S. citizens who already received a 6-month extension and are an
relinquished their citizenship and long-term residents who executor who is out of the country, you may apply for an
have surrendered their green card or taken a position additional extension of time to file by filing a second Form
under a tax treaty that they are solely a resident of the 4768 and completing the form and attaching a written
other country, are treated as expatriates. statement of explanation as instructed. For both
For decedents who expatriated prior to June 17, 2008, extensions, check the “Form 706-NA” box in Part II of
and were still subject to the 10-year alternative tax regime Form 4768.
of section 877(b) on the date of death, the rules in section Private delivery services (PDSs). You can use certain
2107 apply to determine the value of the decedent’s U.S. PDSs designated by the IRS to meet the "timely mailing
taxable estate. For decedents who expatriated on or after as timely filing/paying" rule for tax returns and payments.
June 17, 2008, and were “covered expatriates” on the Go to IRS.gov/PDS for the current list of designated
date of death, as defined in section 877A(g)(1), the rules services.
in section 2107 do not apply, but the rules of section 2801
may apply. So decedents who expatriated on or after The PDS can tell you how to get written proof of the
June 17, 2008, are generally subject to U.S. estate tax as mailing date.
all other NRNC decedents, and the references to “U.S. For the IRS mailing address to use if you're using a
expatriate” in these instructions refer only to decedents PDS, go to IRS.gov/PDSStreetAddresses.
who expatriated prior to June 17, 2008. See the PDSs can’t deliver items to P.O. boxes. You must
instructions for Question 6a and Question 6b, later. Also, ! use the U.S. Postal Service to mail any item to an
see effective dates, later, for more information. CAUTION IRS P.O. box address.
Expatriation after June 3, 2004, but before June 17,
2008. A decedent would have been subject to the Where To File
10-year alternative tax regime of section 877(b) if the
individual met one of three tests set out under section File Form 706-NA at the following address.
877(a) relating to: Department of the Treasury
1. Average annual net income tax liability, Internal Revenue Service Center
Kansas City, MO 64999
2. Net worth, and
3. Certification of tax compliance. If using a PDS, use this address.
See sections 877 and 2107 and Form 8854, Initial and Internal Revenue Submission Processing Center
Annual Expatriation Statement, as they existed in the 333 W. Pershing
relevant tax year for additional information. Kansas City, MO 64108
Expatriation on or after February 6, 1995, through
June 3, 2004. A decedent would have been presumed to
be subject to the 10-year alternative tax regime of section Penalties
877(b) if the individual's average annual net income tax Section 6651 provides for penalties for both late filing of
liability or net worth exceeded certain limits, absent a returns and late payment of tax unless there is reasonable
private letter ruling reversing the presumption. See cause for the delay. There are also penalties for willful
attempts to evade or defeat payment of tax.
-2- Instructions for Form 706-NA (Rev. 10-2022)
|