Chapter 14 - Special Valuation Rules

Question 1

Special Valuation Rules in Case of Transfers of Certain Interests in Corporations or Partnerships

Answer 1

2701

Question 2

Special Valuation Rules In Case of Transfers of Interests in Trust

Answer 2

2702
(a)(1) Section applies only to transfers of interests in trust to family members.
(2) Value of retained interests will be zero.
(3) Section does not apply to transfers that are (1) incomplete gift; (2) a transfer of property consisting only of personal residence.

(b) Qualified Interests include (1) Right to received fixed amounts payable not less than annually; (2) Right to receive payments equal to fixed percentage of trust assets no less than annually; and (3) any noncontingent remainder interest if all other interests in trust are described in (1) or (2).

(c) Certain transfers treated as though they are made in trust and included in this section.

Question 3

Certain Rights and Restrictions Disregarded

Answer 3

2703

Question 4

Treatment of Certain Lapsing Rights and Restrictions

Answer 4

2704