The Internal Revenue Service (IRS) has announced that it is postponing the reporting requirements that were enacted in the recent highway bill. Reporting requirements for estates having to file Form 706 will now be pushed back to February 29, 2016. Certain estates have to file Form 706 because they have assets that exceed the 2015 estate tax threshold of $5.43 million. When the new regulations are implemented these estates will have to report the value of their assets on information returns that must be delivered to the IRS within 30 days of filing a Form 706. These reported values are used as the income tax basis for inherited assets. The new regulations might also impose certain reporting requirements even if the estate is not subject to estate taxes. More specific information about the regulation will likely be released in the near future.
See Mel Schwarz, Dustin Stamper, and Shamik Trivedi, United States: IRS Postpones New Requirements For Estates To Report Asset Values, Mondaq, September 8, 2015.
Special thanks to Brian Cohan (Attorney at Law, Law Offices of Brian J. Cohan, P.C.) for bringing this article to my attention.
