NJ Estate Tax Form IT-Estate

NJ Estate Tax Form IT-Estate (10-99) is to be used for all decedents having a date of death before January 1, 2002. IT-Estate Instructions


The NJ Estate Tax is in addition to the NJ Inheritance Tax. A tax is imposed upon the estate of every resident decedent having a date of death after December 31, 2001 which would have been subject to an estate tax payable to the United States under the provisions of the Federal Internal Revenue Code of 1986, 26 U.S.C.s.1 et seq, in effect on December 31, 2001.

Who Must File
A New Jersey estate tax return must be filed if the decedent’s Gross Estate plus adjusted taxable gifts determined in accordance with the provisions of the Internal Revenue Code in effect on December 31, 2001 exceeds $675,000.
Filing Method

The Form 706 method (Column B) must be used if the taxpayer files or is required to file a Federal Form 706. If the taxpayer does not file or is not required to file a Federal Form 706, then, in addition to the Form 706 method the simplified form method (Column A) may be used providing that it produces a tax liability similar to the Form 706 method. In those cases where a taxpayer makes an election to treat an asset in a particular manner for Federal estate tax purposes, a like election must be made for New Jersey estate tax purposes.
Assets and deductions must be treated in the same manner for both Federal and New Jersey estate tax purposes.

1. Simplified Form Method
(a) Submit a completed NJ Inheritance Tax Return (Form IT-R), a copy of the decedent's Last Will and Testament, a copy of the
decedent's last Federal Income Tax Return filed prior to death, and the NJ Estate Tax Return with Schedules E-1 through
Schedule E-7.
(b) Complete Column A Lines 1(a) through Line 18(a) of the NJ Estate Tax Return. The Tax on Line 10(a) of the NJ Estate Tax
Return is computed using the attached worksheet.
(c) In the event that the decedent was a surviving spouse and received Qualified Terminable Interest Property (QTIP) from the
predeceased spouse for which a marital deduction was elected for Federal and/or New Jersey estate tax purposes, the full value
of the QTIP property must be included in Schedule E-1.
In the event that decedent was a surviving civil union partner on or after February 19, 2007 and received Qualified Terminable
Interest Property (QTIP) from the predeceased civil union partner for which a deduction was elected for New Jersey estate tax
purposes, the full value of the QTIP property must be included in Schedule E-1.
(d) The simplified tax system is not intended for use in all estates. It may not be used in situations where it does not produce a tax
liability similar to the Form 706 method.
2. Form 706 Method
(a) Submit a completed 2001 Form 706, a copy of any Federal Estate Tax Return filed or required to be filed with the Internal
Revenue Service, supporting documentation, a copy of any communication from the Federal Government, a NJ Estate Tax
Return, a copy of the decedent's Last Will and Testament and a copy of the last Federal Income Tax Return filed prior to death.
(b) Complete Column B Lines 1(b) through Line 18(b) of the NJ Estate Tax Return.
(c) If the decedent died on or after 2/19/07 survived by a civil union partner, a marital deduction equal to that permitted a surviving
spouse under the provisions of the Internal Revenue Code in effect on 12/31/01 is permitted for New Jersey estate tax purposes.
In these cases, the 2001 Form 706 should be completed as though the Internal Revenue Code treated a surviving civil union
partner and a surviving spouse in the same manner. A surviving civil union partner is treated the same as a surviving spouse for
New Jersey estate tax purposes.
Interest Rates
Interest accrues at the rate of 10% per annum on any NJ Estate Tax not paid within nine months of the decedent's death. If an
extension of time to file the Federal Estate Tax Return is granted, the Director of the Division of Taxation may reduce interest to 6%
per annum until the earlier of the expiration of the Federal Extension or the date of the filing of the Federal Return with the Internal
Revenue Service.
Requests for an interest reduction must be accompanied by a copy of the request made to the Internal Revenue Service for an
Extension of Time in which to file the Federal Estate Tax Return along with a copy of any required approval and verification as to the
date on which the Federal Estate Tax Return was actually filed.
Payments are first applied to the interest, if any, which has accrued to the date of payment.
Waivers
Tax waivers will only be issued for assets listed on Schedules E-4 thru E-7.
Payments on Account
Payments on account may be made at any time to avoid further accrual of interest on the amount paid. In any case where the amount
paid on account for New Jersey estate taxes exceeds the amount of such tax due after final assessment has been made, the amount
so overpaid shall be refunded by the State Treasurer in the due course of business, provided, however, that all applications for a full
or partial refund of the payment of the transfer inheritance tax shall be made within three years from the date of such payment. Make
checks payable to NJ Inheritance Tax and Estate Tax and mail to PO Box 249, Trenton, New Jersey 08695-0249.
Lien
For resident decedents dying after December 31, 2001, the NJ Estate Tax remains a lien on all property of the decedent as of the
date of death until paid. No property may be transferred without the written consent of the Director.
THIS FORM IS USED FOR DECEDENTS WITH DATES OF DEATH ON OR AFTER JANUARY 1, 2002
THIS FORM MAY BE REPRODUCED
Decedent’s Name__________________________________________________________ Decedent’s S.S. No. ____________________________________
(Last) (First) (Middle)
Date of Death (mm/dd/yy) _________/_______/_________ County of Residence _______________________________ Testate _ Intestate _
Name _____________________________________________ Daytime Phone ( ) ________________________________
Street ________________________________________________________________________________________
City __________________________________________ State ______________ Zip Code ___________________
STATE OF NEW JERSEY
Resident Decedent
ESTATE TAX RETURN
(Instructions on reverse side)
IT-Estate (10-09) (68) For Division Use Only
Transfer Inheritance Tax
PO Box 249
Trenton, NJ 08695-0249
Mailing Address
to send all
correspondence
1. Enter the Gross Estate from line 5 of the New Jersey Form IT-R on line 1(a) OR the Gross
Estate from page 1 line 1 of the 2001 Form 706 on line 1(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1(a) 1(b)
2. Enter Deductions from line 6 of the New Jersey Form IT-R on line 2(a) OR Deductions from
page 1 line 2 of the 2001 Form 706 on line 2(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2(a) 2(b)
3. Enter the Net Estate from line 7 of the New Jersey Form IT-R on line 3(a) OR the Taxable
Estate from page 1 line 3 of the 2001 Form 706 on line 3(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3(a) 3(b)
4. Enter Taxable assets not included as part of New Jersey inheritance tax Net Estate from
line 3 Part C of Schedule E-1 attached . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4(a)
5. Enter Deductions from line 12 of Schedule E-2 attached . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5(a)
6. Enter Adjusted Taxable Gifts from page 1 Line 4 of the 2001 Form 706 . . . . . . . . . . . . . . . . . . . . . . 6(b)
7. Taxable Value - Add lines 3(a) and 4(a) and subtract line 5(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7(a)
8. Enter Total Gift Taxes payable from page 1 line 9 of the 2001 Form 706 . . . . . . . . . . . . . . . . . . . . . . 8(b)
9. Enter the Allowable Unified Credit from page 1 line 13 of the 2001 Form 706 . . . . . . . . . . . . . . . . . 9(b)
10. Tentative New Jersey Estate Tax - If taxable value is reported on line 7(a), use the attached worksheet
to determine the tax and enter the tax so determined on line 10(a). If taxable estate is
reported on line 3(b), enter the amount from page 1 line 15 of the 2001 Form 706 on line 10(b) . . . 10(a) 10(b)
11. Credit for New Jersey Inheritance Tax Paid (DO NOT INCLUDE INTEREST OR PENALTY) . . . . . . 11(a) 11(b)
12. Enter the portion of the tax attributable to property located outside of New Jersey
from line 4 of Schedule E-3 attached. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12(a) 12(b)
13. Net New Jersey Estate Tax Due - line 10(a) minus lines 11(a) and 12(a) OR line 10(b) minus
lines 11(b) and 12(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13(a) 13(b)
14. Interest and Penalty Due (See instructions) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14(a) 14(b)
15. Total Amount Due - Add lines 13(a) and 14(a) OR lines 13(b) and 14(b) . . . . . . . . . . . . . . . . . . . . . 15(a) 15(b)
16. Payment on Account (if any) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16(a) 16(b)
17. If line 16(a) is LESS THAN line 15(a) OR line 16(b) is LESS THAN line 15(b),
Enter BALANCE DUE - PAY THIS AMOUNT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17(a) 17(b)
18. If line 16(a) is MORE THAN line 15(a) OR line 16(b) is MORE THAN line 15(b),
ENTER REFUND AMOUNT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18(a) 18(b)
Column B
Form 706 (2001)
Column A
Simplified Form
FOR DIVISION USE ONLY
Check Tax Method Selected and Complete Column A or Column B
ATTACH CHECK FOR BALANCE DUE HERE
Affiant declares, under penalty of perjury:
I have examined this return and all accompanying documents and to the best of my knowledge and belief, it is true, correct and complete. I hereby
authorize the party(s) set forth above to act as the estate’s representative, to receive confidential information, and to make presentations on behalf of the estate.
Subscribed and sworn before me
this _____________ day of ________________, __________. Signature: __________________________________________________________
(Executor - Administrator - Heir-at-law)
Print Name: __________________________________________________________
Official Title: ___________________________________________ Address: __________________________________________________________
__________________________________________________________