1.An executor can elect to value all real property and certain tangible personal property according to special current-use valuation for estate tax purposes.
2.Series E(EE) bonds are valued at their U.S. Treasury redemption price (market value) as of the date of death.
3.Thanks to modern technology, the valuation of closely held corporate stock is one of the simpler tasks faced by the executor of a decedent-business owner's estate.
4.In valuing a closely held business, two methods the IRS uses are adjusted book value and capitalization of adjusted earnings.
5.When the shares being valued in a closely held business represent a minority interest, a reduction in value is often allowed.
6.Gift tax Code §2701-2704 were promulgated to deal with what the IRS perceived to be estate-freeze valuation abuses.
7.The fact that a business entity has a buy-sell agreement in place pegs the value of a decedent's business interest for estate tax purposes and avoids IRS scrutiny.
8.A statement indicating the purpose of the buy-sell agreement is a common provision found in most agreements.
9.A key employee may be a party to a sole proprietorship business continuation agreement.
10.If life insurance is used to fund a corporate entity purchase agreement, each shareholder should purchase adequate life insurance on the life of the other shareholders.