What IRS Form 706 (2022) Is For

IRS Form 706 is the United States Estate (and Generation-Skipping Transfer) Tax Return used by estate executors to calculate and report federal estate taxes. For deaths in 2022, executors must file Form 706 if the decedent's gross estate plus adjusted taxable gifts exceeds $12,060,000, or if they want to elect portability to transfer the deceased spousal unused exclusion (DSUE) amount to a surviving spouse, regardless of estate size (IRS Instructions for Form 706, Rev. September 2022).

When You'd Use Form 706 for 2022 (Late or Amended Filing)

You would file a late or amended 2022 Form 706 in several scenarios: if you missed the original 9-month deadline after death and need to comply with filing requirements; if you discovered errors in an already-filed return requiring correction; if you need to make the portability election up to five years after death under Rev. Proc. 2022-32; or if you're responding to an IRS examination request. Late filers may also need to address balance due situations, though penalties and interest typically apply when returns are filed after the deadline (Frequently Asked Questions on Estate Taxes, IRS.gov).

Key Rules Specific to 2022

• Basic exclusion amount: $12,060,000
  
  
• Basic credit amount: $4,769,800
  
  
• Special-use valuation ceiling: $1,230,000
  
  
• Threshold for 2% installment payments: $1,640,000
  
  
• Rev. Proc. 2022-32 extended the portability election deadline to five years after death, a significant change from prior rules (IRS Instructions for Form 706, Rev. September 2022).
  
  

Step-by-Step (High Level)

• Gather documentation: Obtain estate tax transcripts using Form 4506-T, collect all asset valuations, gift tax returns (Forms 709), and death certificates
  
  
• Complete the 2022 form: Use the September 2022 revision of Form 706 specifically designed for 2022 decedents, not current-year versions
  
  
• Attach required schedules: Include Schedules A through I as applicable, plus supporting documents like Form 712 for life insurance and any trust instruments
  
  
• Submit properly: Mail to the IRS estate tax processing center in Kansas City, MO, or use the Florence, KY address for amended returns with "Supplemental Information" marked across page 1
  
  
• Retain copies: Keep complete copies of all submitted materials and track mailing with delivery confirmation (IRS Instructions for Form 706, Rev. September 2022)
  
  

Common Mistakes and How to Avoid Them

• Using wrong form version: Always use the September 2022 revision of Form 706 for 2022 decedents, not newer versions designed for different years
  
  
• Incomplete asset reporting: Include all assets in the gross estate, including foreign property, digital assets, and property subject to general powers of appointment
  
  
• Valuation errors: Obtain professional appraisals for significant assets and ensure consistency between estate tax values and what beneficiaries report for income tax basis
  
  
• Missing portability elections: If filing late for portability, clearly state "Filed Pursuant to Rev. Proc. 2022-32 to Elect Portability under section 2010(c)(5)(A)" at the top of page 1
  
  
• Inadequate documentation: Attach certified copies of wills, court documents proving executor status, and all required supporting forms like Form 712
  
  
• Incorrect mailing addresses: Use the specific IRS processing centers designated for estate returns, which differ from individual income tax centers (IRS Instructions for Form 706, Rev. September 2022)
  
  

What Happens After You File

Processing typically takes several months, during which the IRS may request additional information or schedule an examination. You'll receive notices if there are processing issues, balance due amounts, or if your return is selected for audit. If you owe taxes, you can request payment plans using Form 9465 for installment agreements. Estate tax closing letters are no longer automatically issued and must be requested through Pay.gov with a $67 fee after waiting at least 9 months post-filing. You have appeal rights through the IRS Office of Appeals if you disagree with any determinations (Frequently Asked Questions on the Estate Tax Closing Letter, IRS.gov).

FAQs

Can I still file Form 706 for 2022 if I missed all deadlines?

Yes, though late-filing penalties may apply. For portability elections, Rev. Proc. 2022-32 allows filing up to five years after death, but beyond that requires requesting relief under Regulations section 301.9100-3.

What penalties apply to late 2022 Form 706 filings?

Section 6651 provides penalties for both late filing and late payment unless there is reasonable cause for the delay. The late filing penalty will not be imposed if you can show reasonable cause (IRS Instructions for Form 706).

How do I get transcripts for a 2022 estate tax return?

Use Form 4506-T to request estate tax transcripts, which can serve as alternatives to estate tax closing letters. Wait at least six months after filing Form 706 before requesting transcripts (Transcripts in Lieu of Estate Tax Closing Letters, IRS.gov).

Is there a refund statute of limitations for 2022 estate taxes?

Generally, refund claims must be filed within the time periods specified in the Internal Revenue Code. Specific circumstances may affect these periods.

Do I need to amend state estate tax returns if I file an amended federal Form 706?

This depends on your state's requirements. Check with your state tax authority regarding conformity provisions that may require amended state returns when federal returns are changed.

Can I make installment payment elections on a late-filed 2022 Form 706?

Elections under section 6166 must generally be made on timely-filed returns. Late filers typically cannot make these elections, though other payment arrangements may be available through standard collection procedures.

What if I discover I should have filed Form 706 for 2022 but never did?

File the return immediately, even if late. Include documentation explaining the delay and be prepared to address potential penalties and interest charges under section 6651 provisions (IRS Instructions for Form 706).

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