Updated Life Expectancy for Gift Tax / Estate Tax Valuations

IRS has issued new tables for valuing life estates, term interests, remainders and reversions for estate, gift and income tax purposes. The new tables reflect today’s longer life expectancies. For gifts made in May or June 2009, or deaths occurring then, the gift donor or estate executor may choose to use either the old or new tables.

Trust Distributions Deduction Late Election

The IRS issued a Private Letter Ruling allowing a trust to make a late election to deduct a charitable contribution in one year on the tax return for the prior year. PLR 200905027.