Loading...
HomeMy WebLinkAbout06-20-11 June 16, 2011 FROM: Fred B. Owen III, 1465 Valley Road, Etters, PA 17319 FOR: Register of Wills, 1 Courthouse Square, Cazliske, PA 17013 Reference Pennsylvania Inheritance Tax Information Notice and Taxpayer Response, File number 21, accounts 11130868 and 11130869, dated May 6, 2011, enclosures 1 and 2. Under GENERAL INFORMATION, item number 5, on reverse side of enclosures 1 and 2, it states "Accounts established jointly between husband and wife more than one year prior to death are not taxable." The savings account, account number 1664064958 and checking account, aceouat number 2610$9986 were both established in January 2009. This was appffoximately 22 months prior to my wife's death. In addition, my wife and i have had joint savings and checking accountsfor years with Sovereign Bank and reestablished our savings and checking accounts because of my wife's wallet being stolen in eazly January 2009. To protect us from the possibility of someone making unauthorized withdrawals frpm our accounts, we established new accounts. Base on the above, I don't believe I should be charged with an inheritance tax on my wife's death. If there aze any questions, please call me at (717) 822-0021, or email me at fredowen 1465Ca.comcast.net. Thank you for your assistance in this matter. u~~ 3 Encl re B. Owen III 1 and 2 as shown 3 bank statement r., ~~ n-; y O c-7r' C7 ~ ?~ '~' ..._ i ~' a.- BURFi1U OF INDIVIDUAL TAXES APO BOX 280601 HARRISBURG PA 17128-0601 t t .-', i. REV-1 Sf3 EN ~FP t1E-RR> PENNSYLVANIA INHERITANCE TAX INFORMATION NOTICE AND TAXPAYER RESPONSE FILE N0. 21 "~` ^ ~~ 5 ACN 11130869 DATE 05-06-2011 FRED B OWEN III 1465 VALLEY RD ETTERS PA 17319 EST. OF ANTONIA M OWEN SSN 149-54-7789 DATE OF DEATH 11-15-2010 COUNTY CUMBERLAND REMIT PAYMENT AND FORMS T0: REGISTER OF WILLS 1 COURTHOUSE SQUARE CARLISLE PA 17013 TYPE OF ACCOUNT ® SAVINGS CHECKING TRUST CERTIF. SOVEREIGN BANK provided the Deoartaant with the infonat lon below, which has been used in ealculatinp the potential tez due. Records indicate that at the death of the above-naaed decedent, you ware a joint owner/beneficiary of this account If you foal the inforaation is incorrect, please obtain written correction frog the financial institution, attach a copy to this fora and return it to the above address. This account is taxable in accordance with the Inheritance Tax laws of the Coaaonwaalth of Pennsylvania. Plaas• cell C717) 787-8327 with questions. CDMPLETE PART 1 BELOW ^ SEE REVERSE SIDE FOR FILING AND PAYMENT INSTRUCTIONS Account No. 1664064958 Date 01-05-2009 To ensure proper credit to the account, two Established copies of this notice must aecoapatn Account Balance ~ 6, 135.24 cavment to the Register of Wills. Make chock pavabla to "Rapister of Wills, Aeant". Percent Taxable X 50.000 Amount Subject to lax ~ 3,067.62 Tax Rata )( .15 Potential Tax Due S 460.14 P~T TAXPAYER RESPON 1 NOTE, If tax payaents era wade within three aonths of the tlacedent's data of death, deduct a 5 percent discount on the tax due. Arai Inheritance Tax due will becoae delfnquenL nine aonths after the data of death. A. ~ Tha above inforaation and tax due is correct. Raait paywent to the Registor of Wills with two copies of this notice to obtain CHECK a discount or avoid interest, or check box "A" and return thfs notice to the Register of C ONE ~ Wills and an official assessaent will be issued by the PA Departaent of Revenue. BLOC K B. ~ The above asset has bean or will be reported and tax paitl with the Pennsylvania Inheritance Tax return ON L Y to be filed by the estate representative. C. ~ Tha above inforaa fon is incorrect and/or debts and deductions were Daitl. Coaplete PART 2~ and/or PART 3~ below. PART If indicating a different tax rate, please state relationship to docedent: TAX RETURN - COMPUTATION OF TAX ON JDINT/TRUST ACCOUNTS LINE 1. Date Established 1 2. Account Balanea 2 3. Percent Taxable 3 X 4. Amount Subject to Tax 4 ~ 5. Debts and Deductions 5 - 6. Amount Taxable 6 $ 7. Tax Rate 7 X 8. Taz Due a ~` PART DEBTS AND DEDUCTIONS CLAIMED DATE PAID PAYEE DESCRIPTION ANOIINT PATH Undor penalties of perjury, I doelara that the facts I have reported above are true, correct and comp late to the bast of my knowledge and belief. HOME C ) WORK ( ) TAXPAYER SIGNATURE TELEPHONE NUMBER DATE GENERAL INFORMATION 1. FAILURE TO RESPOND WILL RESULT LN AN OFFICIAL TAX ASSESSMENT with applicable interest based an inforwation subwitted by the financial institution. 2. Inheritance Tax becowes delinquent nine wonths after the decedent's date of death. 3. A joint account is taxable even when the decedent's nave was adtled as a wetter of convenience. 4. Accounts (including those held between husband and wife) the decedent put in joint naves within one year prior to death are fully taxable. 5. Accounts established jointly between husband and wife wore than one year prior to death are not taxable. 6. Accounts held by a decedent "in trust for" another or others are fully taxable. REPORTING INSTRUCTIONS - PART 1 - TAXPAYER RESPONSE 1. BLOCK A - If the infornatipn and cowDUtation in the notice are correct and deductions are not being claiwed, place an "X" in Block A of Part 1 of the "Taxpayer Response" section. Sign two copies and subwit thew with a check f or the awount of tax to the register of wills of the county indicated. The PA DeDartwent of Revenue will issue an official assesswent (Forty REV-1548 EX) upon receipt of the return iron the register of wills. 2. BLOCK B - If the asset specified on this notice has been or will be reported and tax Daid with the Pennsylvania Inheritance lax Return filed by the estate's representative. place an "X" in Block B of Part 1 of the "Taxpayer Response" section. Sign one copy and return to the register of wills of the county indicatetl. 3. BLOCK C - If the notice inf orwation is incorrect and/or deductions are being claiwed, check Block C and eowplate Parts 2 and 3 according to the instructions below. Sign two copies and subwit thaw with your check for the awount of tax payable to the register of wills of the county indicated. Tha PA Depertwent of Revenue will issue an off ieial assesswent (Forty REY-1548 EX) uDOn receipt of the return frow the register of wills. TAX RETURN - PART 2 - TAX COMPUTATION. LINE 1. Enter the tlate the account original lY was established or titled in the wanner existing at date of death. NOTE: for a decedent who died after l2/12/82, accounts the decedent put in joint naves within one Year of death are fully taxable. However, there is an exclusion not to exceed 03,000 per transferee, regardless of the value of the account or the nwber of accounts held. If a double asterisk C}s) appears before your first nave in the address portion of this notice, the e3,000 exclusion was deducted frog the account balance as reported by the finanei al institution. 2. Enter the total balance of the account including interest accrued to the date ofdeath. 3. The Darcenta0e of the account that is taxable to oath survivor is data rained as follows: A. The Dercentag• taxable of joint assets established wore than one year prior to the decedent's death: 1 DIVIDED BY TOTAL NUMBER OF DIVIDED BY TOTAL NUMBER OF MULTIPLIED BY 100 = PERCENT TAXABLE JOINT OWNERS SURVIVING JOINT OWNERS Exawple: A joint asset registered in the nawa of the decedent and two other persons: 1 DIVIDED BY S (JOINT OWNERS) DIVIDED BV 2 (SURVIVORS) _ .167 X 100 = 16.7 Dereent (TAXABLE 70 EACH SURVIVOR) B. The percentage taxable for assets created within one year of the decedent's death or accounts owned by the decadent but held in trust for another individual(s) (trust benef iciaries)s 1 DIVIDED BY TOTAL NUMBER OF SURVIVING JOINT MULTIPLIED BY 100 = PERCENT TAXABLE OWNERS OR TRUST BENEFICIARIES Exawple: Joint account registered in the nave of the decedent end two other persons and established within one rear of death by the tlecedent. 1 DIVIDED BY 2 CSURV IVORS) _ .50 X 100 = 50 percent (TAXABLE FOR EACH SURVIVOR) 4. The awount subject to tax (Line 4) is deterwined by aultiplying the account balance Cline 2) by the percent taxable (Line 3). 5. Eltter the total of the debts and deductions listed in Part 3. 6. The awount taxable IL in• 6) is deterwinedbY subtracting the debts and deductions (Line 5) frow the awount subject Lo tax (Line 4). 7. Enter the appropriate tax rate (Line 7) as deterwined below. .Tha tax rate iwDOSe On • ne value of transfers frog a deceased child 21 Years of age or younger at death to or for the use of a natural va rent, an adoptive parent or a stepparent of the child is 0 percent. Tha lineal class of hairs includes grandparents, parents. children antl other lineal descendents. "Children" includes natural children whether or not they have bean adopted by others. adopted children and step children. "Lineal descentlent s" includes all children of the natural parents and the it descendents. whether or not they have been adoptetl by others; adopted descendents and their descendents; and stop-descendants. "Siblings" ere daf fined as individuals who have at least one parent in couon with the decadent, whether by blood or adoption. Tne Collateral class of heirs includes all other benef iciariea. CLAIMED DEDUCTIONS - PART 3 - DEBTS AND DEDUCTIONS CLAIMED Allowable debts end deductions are deterwined as follows: Dste of Death Spouse Lineal Sibling Collateral 07/01/94 to 12/31/94 3 percent 6 percent 15 percent 15 percent 01/01/95 to 08/30/00 0 percent 6 percent 15 percent 15 portent 07/01/00 to present 0 percent 4.5 Dereent ~ 12 percent 15 percent A. You ere legally responsible for Daywent, or the estate subject to adwinistration by a personal representative is insufficient to Pay the deductible itews. B. You actually void the debts after the death of the tlecedent end can furnish proof of paywent. C. Debts being claiwed oust be itewized fully in Part 3. If additional space is needed. use 8 1/2" x 11" sheet of paper. Proof of oaiywent say be requested by the PA Departwent of Revenue. PENNSYLVANIA INHERITANCE T • ' INFORMATION NOTICE BUREAU OF INDIVIDUAL TAXES AND ' Po Box zao6ol TAXPAYER RESPONSE Fg1RRISBURG PA 17128-0601 REY•1565 EX ~FP fRR-RR) FILE NO. 21 ACN 11130868 DATE 05-06-2011 FRED B OWEN III 1465 VALLEY RD ETTERS PA 17319 EST. OF ANTONIA M OWEN SSN 149-54-7789 DATE OF DEATH 11-15-2010 COUNTY CUMBERLAND REMIT PAYMENT AND FORMS T0: REGISTER OF WILLS 1 COURTHOUSE SQUARE CARLISLE PA 17013 TYPE OF ACCOUNT SAVINGS ® CHECKING TRUST CERTIF. SOVEREIGN BANK provided the Department with the information below, which has bean used in calculating the potential tax due. Records indieat• that at the death of the above-named decedent, you were a ioint owner/banef ieiary of this account If you feel the information is incorrect, please obtain written correction from the financial institution. attach a copy to this form and return it to the above address. This account is taxable in accordance with the Inheritance Tax laws of the Cwaonwealth of Pennsylvsnie. Plesse call C717) 7B7-8b27.with questions. _ CDMPLETE PART 1 BELOW ~ SEE REVERSE SIDE FOR FILING AND PAYMENT INSTRUCTIONS ACCOUfIL No. 0261089986 Data 01-05-2009 To ensure proper credit to the account, two Established copies of this notice must aeeoaparry Account Balance $ 1,969.66 paym°nt to the Register of Wills. Make check payebl• to "Register of Wills, Agent". Percent Taxablo X 50.000 Amount Subjoet to NOTE: If tax pavaents are aade within three Tax $ 984.83 aonths of the decedent's tlate of deatA, Tax Rata X 1j deduct a 5 percent discount on the tax due. Potential Tax Du• Arai Inheritance Tax due will beeoae delinquent S 147.72 nine aonths after the data of death. P~T 1 TAXPAYER RESPONSE A. ~ The above inforaation and taX.tlue is correct. Remit payment to'th• Ragistar of Wills with two copies of this notice to obtain CHECK ONE a discount or avoid interest, or chock box "A" and return this notice to the Register of Wills and an official assessaent will be issued by the PA Dapartaent of Revenue. BLOCK ON L Y B. ~ The above asset has bean or will be reported and tax paid with the Pennsylvania Inheritance Tax return to bs filed by the estate representative. C. ~ Ths above info a ion is incorrect and/or debts and Deductions ware paid. Coaplete PART ~ and/or PART ~ below. PART If indieatiny a different tax rate, please state relationship to decedent: TAX RETURN - COMPUTATION OF TAX ON JOINT/TRUST ACCOUNTS LINE 1. Data Established 1 2. Account Balance 2 3. Percent Taxable 3 X 4. Amount Subject to Tax 4 5. Debts and Deductions 5 6. Amount Taxable 6 $ 7. Tax Rate 7 X 8. Tax Due 8 ~ PART DEBTS AND DEDUCTIONS CLAIMED DATE PAID PAYEE DESCRIPTION AMOUNT PAID TOTAL (Enter on Lino 5 of Tax Computation) i Under ponalties of por~ury, I daelaro that the facts I havo reported above are true, correct and complete to the best of my knowledge and belief. HOME C ) WORK ( ) TAXPAYER SIGNATURE TELEPHONE NUMBER DATE GENERAL INFORMATION 1. FAILURE TO RESPOND WILL RESULT IN AN OFFICIAL TAX ASSESSMENT with applicable interest based on inforwation subwitted by the financial institution. 2. Inhe ritanca Tax becowes tla linauent nine wonths after the decedent's date of death. 3. A joint account is taxable even when the decedent's name was added as a setter of convenience. 4. Accounts (including those held between husband and wife) the decedent put in joint naves within one year prior to death are fully taxable. 5. Accounts established jointly between husband and wife wore than vne near prior to tleath are not taxable. 6. Accounts held by a decedent "in trust for" another or others are fully taxable. REPORTING INSTRUCTIONS - PART 1 - TAXPAYER RESPONSE 1. BLOCK A - If the inforwation and cowputation in the notice are correct and deductions are not being elaiwed. place an "X" in Block A of Part 1 of the "Taxpayer Response" section. Sign two copies and subeit thew with a check for the awount of tax to the register of wills of the county indicated. The PA Department of Revenue will issue an official assess ant (Fora REY-1548 EX) upon receipt of the return frow the register of wills. 2. BLOCK B - If the asset specified on this notice has been or will be reported and tax paid with the Pennsylvania Inheritance lax Return filed by the estate's representative, place an "X" in Block B of Part 1 of the "Taxpayer Response" section. Sign one copy and return to the register of wills of the county indicated. 3. BLOCK C - If the notice inf orwation is incorrect and/or deductions are being claiwetl, check Block C and cowplete Parts 2 and 3 according to the instructions below. Sign two copies and suhwit thaw with Your chock for the awount of tax payable to the register of wills of the county indicated. The PA Departwent of Revenue Mill issue an official assesswent IFo rw REV-1548 IX) upon receipt of the return frow the register of wills. TAX RETURN - PART 2 - TAX COMPUTATION LINE 1. Enter the date the account originally was established or titletl in the wanner existing at data of death. NOTE: For a decedent who died of tar l2/12/82, accounts the decedent put in joint naves within one year of death are fully taxable. However. there is en exclusion not to ezceed x3,000 per transferee, regardless of the value of the account or the nuwber of accounts held. If a double asterisk (vs) appears before your first nawa in the address portion of this notice, the 03,000 exclusion was deducted frow the account balance as reported by the financial institution. 2. Enter the total balance of the account including interest accrued to the dat• of death. 3. The percentage of the account that is taxable to each survivor is deterwined es follows: A. The percentage taxable of joint assets established wore than one Year prior to the decedent's death: 1 DIVIDED BY TOTAL NUMBER OF DIVIDED BY TOTAL NUMBER OF NULTIPLIED BY 100 = PERCENT TAXABLE JOINT OWNERS SURVIVING JOINT OWNERS Exawpla: A joint asset registered in the nawa of the decedent end two other porsons: 1 DIVIDED BY 3 (JOINT OWNERS) DIVIDED BY 2 (SURVIVORS) _ .167 X 100 = 16.7 percent (TAXABLE TO EACH SURVIVOR) B. The percentage taxable for assets created within one year of the decedent's death or accounts owned by the decedent but held in trust for another individual(s) (trust beneficiaries): 1 DIVIDED BY TOTAL NUMBER OF SURVIVING JOINT NULTIPLIED 8Y 100 = PERCENT TAXABLE OWNERS OR TRUST BENEFICIARIES Exawple: Joint account registered in the naae of the decedent and two other persons and established within one Year of tleath by the decedent. 1 DIVIDED BY 2 (SURVIVORS) _ .50 X 100 = 50 percent (TAXABLE FOR EACH SURVIVOR) 4. The awount subject to tax Cline 4) is determined by ^ultivlving the account balance (Line 2) by the percent taxable (Line 3). 5. Enter the total of the debts and deductions listed in Part 3. 6. Tha awount taxable (Line 6) is deterwined by subtracting the debts and deductions (Line 5) frow the awount subject to tax Cline 4). 7. Enter the appropriate tax rate (Lino 7) as deterwined below. Date of Death Spouse Lineal Sibling Collateral 07/01/94 to 12/31/94 3 percent 6 percent 15 percent 15 percent 01/01/95 to 06/30/00 0 percent 6 percent 15 percent 15 percent 07/01/00 to present ~ 0 percent 4.5 percent • 12 percent 15 percent .The tax rate fwposed on the net value of transfers frow a deco ased child 21 Years of age or younger a. death to or for the use of a natural parent, an adoptive parent or a stepparent of the child is 0 percent. Tha lineal class of heirs includes grandparents, parents, children and other lineal descendants. "Children" includes natural children whether or not that Nava been adopted by others. adopted children and step children. "Lineal descendents" includes all children of the natural parents and the it descendants, whether or not then have been adopted by others; adopted descendants and their descendants; and step-descendants. wSiblinBSw are defined as intlividuals who have at least one parent in cowwon with the dacadant, whether by blood or adoption. The Collateral class of heirs includes all other beneficiaries. CLAIMED DEDUCTIONS - PART 3 - DEBTS AND DEDUCTIONS CLAIMED Allowable debts and deductions are determined as follows: A. You are legally responsible for pavwent, or the estate subject to adwinistration by a personal representative is insufficient to pay the deductible itews. B. Vou actually paid the debts after the death of the decedent antl can furnish proof of payaent. C. Debts being claiwed oust be itewized fully in Part 3. If additional space is needed, use 8 1/2" x 11" sheet of peoer. Proof of payaent ^ay be requested bythe PA Departwent of Revenue. ~' Sovereign Bang t~ ~ ~b ~.~ STATEMENT OF ACCOUNTS Page ~. `=- .,-' v~ ~ x a-T ~j~. max,: + L °}.=~~~~ ' :~,;~. .. .5 "_~. a .. i?` ~'G,« ..>x.` A ` fg ~ ~ y ~ ~ ~~ ~ ~'} ut f _ x Y ~~ f ~ ; ~ 'S 1 ~ ` / } S 5 ' "fi' ~' 2 ~}' 4` . ' ~ ' ~hL~F i. W Z2 . d ~~ `... .{ dF e'.k ~;'Ni~~ C.s~ ~vi ~~+~~k".i S - #~ t %3' '-z•~ e[{' d5uawawWlT.l n ': SL vr~L..RIIA ~ ~" YR^ 4 _ 2ii"i1P i P 4 ._ v ..s .~ + x . ;~ y tx 1i 2~ N .l L~ 3~ 4"y "}. ~~ t Y i 4r ~r'~..s ~"' : v ~d Y- ~ ~ '£ '~` ~j:. AA ..b #'rt~M{~%'#~S S.. h,~t'"il~ e~ j ~"Y "~ 's~ ~' , + 1. r +`r ~,. + '- r h ~ ~T t ~ - i} - . r 3vY E -" Y ~C Y J''-14•~ Y'E-T il~ASt ~ ' , F ~:"~) e ` ' ~ ~~~r ~ ^ ~ ~~ 4 1~ = ~4 = „ ~ ~ ~S ~ ~< 4S ~ 3 „ ' {- f }~-+~. ~ Sr 3+ -ice m9 cvx AS„ s P t.r^ ~ (d~Y+; !s~*, . s r: ~ 3 Y a 3k4' M -s T a # + $$ ~~ ~ -t S.~ ~ '1 Fes{ u "~> S^3;t' s "~~ a $ 3 w .. :. ._ v $~ 1'~ ~ 3' i ~ ~'3btt` d q }' .?S '~, 1a`~ ,k ~ ~~ ~ _. _.. i 3 .. -.t Yi F. m. `n` Sys .i ~ ' 261089986 page 4 of 5 . - 8ov+ereign Bank S: r 4 r .~ . r1~/ A1~71~NfA J~/fl6VElY ~~~ I C~1tF1['~. STATEMENT OF ACCOUNTS !664064958 ~ M W O 1 fD _ ~ ~~ - 00 Z b a..wcnn~ ¢xr-o ^ Li /o ¢ ar- ~° vi z o • ~ ~ ~ w ~ M_ 0 ,r r ~~! a G~ u" ~~ M1 O S fU fU ti IU O O O O O O m m 0 0 ~n o 0 N [~1 ~i~ F ~N ~~a ~, m ~' ~~~ N~ yV V Q 3 b \~ vL\ lb ~ ~; \- \ V .~ , ~ ~ ~,' '~'> r __:~ . _, E