Fill Out Your Tennessee Inh 300 Form Modify Form Now

Fill Out Your Tennessee Inh 300 Form

The Tennessee Inh 300 form is the official State Gift Tax Return used to report gifts made during a calendar year. This form must be filed if the total value of gifts exceeds certain exemption levels, and it provides essential information regarding the donor, the gifts, and any applicable deductions. Understanding how to accurately complete this form is crucial for compliance with Tennessee tax laws.

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Table of Contents

The Tennessee Inh 300 form serves as a vital tool for individuals navigating the state's gift tax requirements. This form must be filed by anyone whose total gifts exceed specific exemption levels during a calendar year. The form captures essential information, including the donor's details, the value of gifts made, and any applicable marital deductions. Key components include the classification of donees into Class A and Class B, which helps determine the tax liability based on the relationship to the donor. Additionally, the form outlines the necessary computations for determining the total tax due, including penalties for late payments and interest on unpaid taxes. It also addresses the option for spouses to consent to split gifts, allowing for potential tax advantages. Completing the Inh 300 accurately is crucial, as it ensures compliance with state regulations and facilitates proper tax calculations. Timely submission is essential, with the due date set for April 15 of the year following the calendar year in which the gifts were made. Understanding the intricacies of this form can significantly impact financial planning and tax obligations for donors in Tennessee.

Tennessee Inh 300 Sample

INH 300

TENNESSEE DEPARTMENT OF REVENUE STATE GIFT TAX RETURN

AMENDED RETURN

 

 

____ ____ ____ - ____ ____ - ____ ____ ____ ____

CALENDAR YEAR OF GIFT

COUNTY

DONOR'S SOCIAL SECURITY NUMBER

 

 

 

NAME OF DONOR _______________________________________________________

The Tennessee Gift Tax is due April 15 of

the year following the calendar year in

 

 

 

 

 

 

 

 

 

 

STREET ADDRESS ______________________________________________________

which gifts were made.

 

 

 

 

 

 

 

 

 

 

Make your check payable to the Tennes-

CITY, STATE AND ZIP CODE ______________________________________________

see Department of Revenue for the amount

 

 

 

 

 

 

 

 

 

 

shown on Line 8 and mail to:

If Donor is deceased, check here

 

and enter date of death

________________

 

Tennessee Department of Revenue

 

 

 

 

 

 

 

 

 

 

Andrew Jackson State Office Building

TERMINABLE INTEREST MARITAL DEDUCTION

500 Deaderick Street

1.Do you elect, under the rules of 2523(f) I.R.C., to claim a marital deduction for

Nashville, Tennessee 37242

gifts of qualified terminable interest property (QTIP)? YES

 

 

NO

 

 

 

 

2.Is the gift a disposition of qualified terminable interest property (QTIP) under T.C.A.

For assistance, you may call in-state toll

§67-8-101(e)?

 

YES

 

 

NO

 

 

free 1-800-342-1003 or (615) 253-0600.

CONSENT OF SPOUSE - GIFTS BY HUSBAND OR WIFE TO THIRD PARTIES

Do you consent to have the gifts by you and by your spouse to third parties during the calendar year considered as made one-half by

each of you?

YES

 

NO

 

If yes, consenting spouse must file return.

 

If the answer is "yes," complete Lines 1 through 3 and sign the consent line below:

 

1.

Name of spouse __________________________________ Spouse's social security number ________________________

 

 

 

 

 

 

 

 

 

 

 

2.

Were you married during the entire calendar year? YES

 

 

NO

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3.

If the answer to 2 is "NO," check whether

 

married,

 

divorced, or

 

 

widowed, and give date

___________________

Consent of spouse - I consent to have the gifts made by me and my spouse to third parties during the calendar year considered as made one-half by each of us. We are both aware of the joint and several liability for tax created by the execution of this consent.

Spouse's signature ___________________________________________________ Date ___________________________

 

 

 

Round to Nearest Whole Dollar

 

 

 

COMPUTATION OF TAX

Dollars

Cents

1.

Total Class A Tax

 

00

2.

Total Class B Tax

 

00

3.

Total Tax (Add Lines 1 and 2)

 

00

4.

Deduct: Extension payment

 

00

5.

Net Tax Due (Line 3 minus Line 4)

 

00

6.

Penalty (5% for each 30-day period of delinquency not to exceed 25% of the tax due)

 

00

7.

Interest (

% per annum on any taxes unpaid by the due date)

 

00

8.

Total Amount Due (Add Lines 5, 6, and 7)

 

00

9.

Refund Due (Must complete and attach Report of Debts if claiming refund of $200 or more)

 

00

FOR OFFICE USE ONLY Acct. # ____________________

Date Rec'd ________________

Amt. Rec'd $ _______________

RV-R0001801

Under the penalties of perjury, I declare that I have examined this report, and to the best of my knowledge and belief, it is

true, correct and complete.

Donor's

signature __________________________________________ Date ______________

Preparer's

signature __________________________________________ Date ______________

Address __________________________________________ Phone _____________

City/State _________________________________________ ZIP _______________

INTERNET (08-11)

INSTRUCTIONS

WHO MUST FILE A RETURN:

Provided that the total value of all gifts during the calendar year exceeds the applicable exemption levels, the State Gift Tax Return must be filed upon transfer by gift by any person of the following property or any interest therein:

(a)When the transfer is from a resident of this state:

(1)Real property situated in Tennessee.

(2)Tangible personal property, except that which is actually situated outside of Tennessee.

(3)All intangible personal property.

(b)When the transfer is from a nonresident of this state:

(1)Real property situated in Tennessee.

(2)Tangible personal property which is actually situated in Tennessee.

(c)Property in which a person holds a qualifying income interest for life, which is included for taxation pursuant to §67-8-101(e) Tennessee Code Annotated.

CLASSIFICATION OF DONEES:

CLASS A - Husband, wife, son, daughter, lineal ancestor, lineal descendant, brother, sister, son-in-law, daughter-in-law, or step- child. For purposes of the Gift Tax, a person who is related to the donor as a result of legal adoption shall be considered to have the same relationship as a natural lineal ancestor, lineal descendant, brother, sister, or step-child. If a person has no child or grandchild, a niece or nephew of such person and the issue of such niece or nephew shall be a class A donee, for transfers made on or after January 1, 1996.

CLASS B - Any other relative, person, association, or corporation not specifically designated in Class A.

EXEMPTIONS:

(a)There shall be allowed against the net gifts made during any calendar year a maximum single exemption of ten thousand dollars ($10,000) against that portion of the net gifts going to donees of class A, and maximum single exemption of five thousand dollars ($5,000) against that portion of the net gifts going to the donees of Class B.

(b)In the event the aggregate net gifts for any calendar year exceed the allowable maximum single exemptions, the tax shall be applicable only to the extent that the gifts, (other than gifts of future interest in property) to each donee exceed the following amounts:

CLASS A - Gifts made before 2002 - The sum of $10,000

CLASS A - Gifts made in 2002 through 2005 - The sum of $11,000 CLASS A - Gifts made in 2006 through 2008 - The sum of $12,000 CLASS A - Gifts made in 2009 and after - The sum of $13,000 CLASS B - The sum of $3,000

"Net gifts" mean that total amount of gifts made during any calendar year less allowable deductions.

IF THE TOTAL VALUE OF ALL GIFTS MADE BY A PERSON DURING ANY CALENDAR YEAR DOES NOT EXCEED THE EXEMPTION LEVELS, NO GIFT TAX RETURN IS REQUIRED OF SUCH PERSON, UNLESS CONSENTING TO SPLIT GIFTS.

Item

Date of

Gift

SCHEDULE A

Description of Gift - See Instructions

(Include Name of Each Donee)

Value of Gift

Commissioner

Appraisal

TOTAL

NOTE: To facilitate the Class A and B computations, the items listed above should be segregated into the following categories: (1) gifts to spouse, (2) gifts to Class A donees other than the spouse, (3) gifts to Class B donees, and (4) gifts to charity, public, and similar uses.

DONEES

Name

Address

Age

Relationship

INTERNET (08-11)

SCHEDULE B

COMPUTATION OF TAXABLE GIFTS

(1)Total gifts of donor (from Schedule A) ..................................................................................................

(2)One-half of items ______ to ______ attributable to spouse ...............................................................

(3)Balance (Line 1 minus Line 2) .............................................................................................................

(4)Gifts of spouse to be included (from Line 2, Schedule B of spouse’s return) ....................................

(5)Total gifts (Line 3 plus Line 4) .............................................................................................................

(6)Deductions

(a)Total of items______ to ______ given to spouse .........................................................................

(b)Charitable, public and similar gifts .................................................................................................

(7)Total deductions [Line 6(a) plus Line 6(b)] ..........................................................................................

(8)Total gifts after deductions (Line 5 minus Line 7) ...............................................................................

(9)Total gifts to Class A donees ...............................................................................................................

(10)Total exclusions for the calendar year for each

Class A donee (except gifts of future interest) .....................................................................................

(11)Exemption: $10,000 less amount on Line 10 (if Line 10 is $10,000 or greater,

enter zero) Do not enter more than $10,000 on this line ..................................................................

(12)Total Class A exemptions (Line 10 plus Line 11) ...............................................................................

(13)Total taxable Class A gifts (Line 9 minus Line 12) ..............................................................................

(14)Total gifts to Class B donees (Line 8 minus Line 9) ...........................................................................

(15)Total exclusions not exceeding $3,000 for the calendar year

for each Class B donee (except gifts of future interest) .......................................................................

(16)Exemption: $5,000 less amount on Line 15 (if Line 15 is $5,000 or greater,

enter zero) Do not enter more than $5,000 on this line ....................................................................

(17)Total Class B exemptions (Line 15 plus Line 16) ...............................................................................

(18)Total taxable Class B gifts (Line 14 minus Line 17) ...........................................................................

(19)Total taxable gifts (Line 13 plus Line 18) .............................................................................................

________________________

1

________________________

2

________________________

3

________________________

4

________________________

5

________________________

6a

________________________

6b

________________________

7

________________________

8

________________________

9

________________________

10

________________________

11

________________________

12

________________________

13

________________________

14

________________________

15

________________________

16

________________________

17

________________________

18

________________________

19

SCHEDULE C

COMPUTATION OF TAX (For Gifts made after 1983)

(1) Class A taxable gifts from Schedule B, Line 13

 

 

AMOUNT

RATE

TAX

(a)First $40,000, or part thereof = _______________________________ X 5.5% = _________________________________

(b)Next $200,000, or part thereof = ______________________________ X 6.5% = _________________________________

(c)Next $200,000, or part thereof = ______________________________ X 7.5% = _________________________________

(d)Amount over $440,000 .. ____________________________________ X 9.5% = _________________________________

(e) Total Class A tax (Add lines a through d and transfer to Page 1, Line 1)

............... =

_________________________________

(2) Class B taxable gifts from Schedule B, Line 18

 

 

AMOUNT

RATE

TAX

(a)First $50,000, or part thereof = _______________________________ X 6.5% = _________________________________

(b)Next $50,000, or part thereof = _______________________________ X 9.5% = _________________________________

(c)Next $50,000, or part thereof = _______________________________ X 12.0% = _________________________________

(d)Next $50,000, or part thereof = _______________________________ X 13.5% = _________________________________

(e)Amount over $200,000 .. ____________________________________ X 16.0% = _________________________________

(f) Total Class B tax (Add lines a through e and transfer to Page 1, Line 2)

= _________________________________

INTERNET (08-11)

INTERNET (08-11)

INSTRUCTIONS

DEDUCTION:

(a)Marital Deductions - There shall be allowed as a deduction in computing taxable gifts for a calendar year an amount equal to the gift(s) made by a donor to his/her spouse, provided they were married to each other at the time such gift(s) were made, and further provided that the property so transferred is not either of the following:

(1)Characterized as being a terminable interest; however, see (QTIP) election below.

(2)An interest in unidentified assets.

(b)Election to Deduct Qualified Terminable Interests - You may elect to claim a marital deduction for qualified terminable property or property interests. The election is irrevocable. The effect of the election is that the property (interest) will be treated as passing to the spouse and will not be treated as a nondeductible terminable interest. All of the other martial deduction requirements must still be satisfied before you may make this election.

Qualified terminable interest property is property that: (1 ) passes from the donor; and

(2) in which the spouse has qualifying income interest for life.

The spouse has a qualifying income interest for life if the spouse is entitled to all of the income for the property payable annually or at more frequent intervals, and during the spouse’s lifetime no person has a power to appoint any part of the property to any person other than the spouse.

In order to claim this election, you must check “yes” in the appropriate box on the face of the return. On Schedule A, you should group the property interests for which you made the election separately and mark them “Qualified Terminable Interest Property.” (QTIP)

(c)Charitable Deduction - There shall be allowed as a deduction in computing taxable gifts for a calendar year those gifts transferred to the United States, the State of Tennessee, or to any political subdivision thereof, any public institution herein for exclusively public purpose, or any corporation, society, association or trust therein, or in a state which grants a like exemption to such institutions in Tennessee formed for charitable, educational, scientific, or religious purposes.

DATES AND VALUATION:

The valuation of all property, real and personal, shall be appraised at its full and true value as of the date of the making of the gift.

INFORMATION REQUIRED:

1.REAL ESTATE - describe and identify each parcel so that it may be readily located for inspection and valuation. If formal appraisals are accomplished, attach a copy of the appraisal to the tax return. For city properties, state the street and number, ward, subdivision, block and lot identification numbers or letters. For rural properties, state the township, range, landmarks, number of acres and the road or street name upon which the property is located. For all improved properties, include a short statement of the type and description of the improvement(s). State the gross monthly rental for all parcels of real estate that are rented. Attach a copy of the lease for all leased parcels.

2.STOCKS AND BONDS - the description of stocks should indicate the number of shares, whether common or preferred price per share, exact name of corporation and, if not listed on a stock exchange, the address of the principal business office. If stock is listed, state the principal stock exchange upon which sold. The description of bonds should include quantity and denomination, name of the obligor, kind of bond, date of maturity, interest rate, and interest due dates. State the exchange upon which the bonds are listed, or if unlisted, the principal business office address of the company or municipality.

3.NON-LISTED CORPORATIONS, PARTNERSHIPS, AND PROPRIETORSHIPS - attach copies of the balance sheets and income statements for the five full years ending nearest to the date of the gift. Also, attach a statement which sets forth the criteria considered and the valuation method used in determining the full and true value.

4.NOTES AND MORTGAGES RECEIVABLE - indicate the face value, unpaid balance, date of the note or mortgage, date of maturity, name of maker, interest rate, interest dates, and a brief description of the property mortgaged.

5.ARTISTIC OR INTRINSICALLY VALUABLE GIFTS - attach a copy of the expert appraisal of the gift items.

6.GIFTS TO A TRUST - attach a copy of the trust agreement or governing instrument.

7.PARTIAL CONSIDERATION GlFTS-where property is transferred for less than an adequate and full consideration in money or money’s worth, then the amount by which the value of the property exceeds the value of the consideration shall be deemed a gift, and shall be included in computing the amount of gifts made during the calendar year.

8.POWERS OF APPOINTMENT - the exercise or release of a power of appointment may constitute a gift by the individual possessing such a power. In any case where such action has been taken, see §67-8-101 (c) Tennessee Code Annotated.

9.ACTUARIAL VALUATION OF FUTURE AND LlMITED ESTATES - computation of the values of any future, contingent or limited estate, income interest, or annuity must be attached to the tax return. Under §67-8-107(b) Tennessee Code Annotated, such interest shall, so far as possible, be determined by the rule, method, and standard of mortality in use by the Internal Revenue Service at the time of the gift.

10.OTHER GIFTS - all other gifts should be fully described so that the value placed on the gift can be verified.

11.CONSENT OF SPOUSE - gifts made during the calendar year by the donor and spouse to third parties may be considered as being made one-half by each. This election can be made only if the donor and spouse are married at the time of the gift and do not remarry during the remainder of the year. The "Consent of Spouse" part of the gift tax return, even if Non-Taxable, must be completed in its

entirety, to perfect the election for gift splitting.

Document Details

Fact Name Details
Governing Law The Tennessee Gift Tax is governed by T.C.A. §67-8-101.
Filing Deadline The tax return is due on April 15 of the year following the calendar year in which gifts were made.
Gift Types The form covers gifts of real property, tangible personal property, and intangible personal property made by residents and non-residents.
Classifications of Donees Donees are classified into Class A (close relatives) and Class B (all others), impacting the applicable tax exemptions.
Exemption Limits Class A donees have a maximum exemption of $10,000, while Class B donees have a maximum of $5,000.
Marital Deduction Donors can elect to claim a marital deduction for gifts of qualified terminable interest property (QTIP).
Joint Liability If spouses consent to split gifts, they share joint and several liability for the tax incurred.
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