PREPARATION OF FORM 706, 709 & M706 WORKSHOP

The Big Beautiful Bill Act has passed and federal estate tax exemptions are at 15.0 each as of January 1 indexed for inflation and permanent at least for now. We will explore this act and its impact on estate planning. Certainly this will allow a return to the focus of obtaining the step up in basis, and potential double step and its related benefits which can be explored thru the power of the joint revocable trust. From a Massachusetts perspective we will do a deep dive into the new Massachusetts estate tax legislation three years later increasing the exemption to 2,000,000 along with changes that have occurred since then including  the recent legislation of MA H 4799 finally settling how to handle out of state property for Massachusetts estate tax purposes for residence of the state once and for all effective 9-16-24. In addition most recently Massachusetts has amended their legislation on the calculation of the Mass estate tax following the Schaffer decision eliminating the Mass only QTIP effective August 2025.  We will explore this new legislation along with the potential planning benefits that still exist for previously made Mass only QTIPS when surviving spouse dies under the currently law. Finally a new development in the add back of taxable gifts and its impact on the Massachusetts estate tax calculation and need to file a return.

Join us for a walk thru schedule by schedule of a hypothetical example of the proper preparation of federal and state estate tax returns as well as necessary gift tax returns, including an explanation of the different estate planning trusts you may encounter when preparing these returns and whether they are included or not in the estate’ such as Revocable trusts, irrevocable Medicaid trusts, life insurance trusts first and second to die variety, joint revocable trusts and so much more. So turn on your laptops and sharpen your pencils for this detailed seminar in which you will explore:

1. The importance of step up in basis under 1014a and the use of joint trusts to get a full step up on the first death and a potential double step up in basis later
2. The pros and cons of portability of unused exemptions and how it works from a dying and lifetime gifting stand point, also review the Rowland v Commissioner case showing the importance of electing portability
3. The making of a federal Qtip election even when under the exemption coupled with gifting assets flush with basis by surviving spouse
4. The revenue ruling 2032-2 and its impact on the step up in basis for irrevocable grantor trusts
5. The new Massachusetts estate tax law increasing the exemption to 2.0 million along with a deep dive into this legislation including:

• A focus on the federal gross estate and the computation of the state death tax credit;
• The problem with lack of portability and the tax cost of failure to plan for a married couple;
• The impact on the old cliff rule and how it may help the ability to make life time gifts
• Did the filing threshold change;
• How to handle nonresidents who own MA real estate by using a limited liability company;
• How to handle out of state real estate owned by a mass resident, the F. Davis Dassori Case and now the new MA H 4799 legislation effective 9-16 which resolves this out of state real estate controversy once and for all.
• Explore the new Mass legislation after the fall out from the SJC decision in Schaffer and how a possible MA only Qtip election without a federal Qtip may escape taxation on the surviving spouse’s death. While this benefit maybe closed it seems to leave open the benefit of using the mass only QTIP from deaths prior to this new legislation and getting the benefit of it upon the death of the surviving spouse currently.
• How to handle the add back of taxable gifts and its impact on the Massachusetts estate tax calculation and need to file a return.

Registration Form: 2026 Spring CPE Registration Form