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HomeMy WebLinkAbout01-03-13 1505610105 REV-1500 t:x (°2.1'' (Ft OFFICIAL USE ONLY PA Department of Revenue Pennsylvania OFRMTNENT OR REVENUE County Code Year File Number Bureau of Individual Taxes INHERITANCE TAX RETURN .~ ~j~~ PO BOX 28o6oi Harrisburg, PA iYi28-o6oi RESIDENT DECEDENT ~ ~ I ~ l.i ~r4'~.G~ ENTER DECEDENT INFORMATION BELOW Social Security Number Date of Death MMDDYYYY Date of Birth MMDDYYYY ! 04/21/2012 ' 02/14/1919 Decedent's Last Name Suffix Decedent's First Name MI Zyki ' Charles _. (If Applicable) Enter Surviving Spouse's Information Below Spouse's Last Name Suffix Spouse's First Name MI Spouse's Social Security Number FILL IN APPROPRIATE OVALS BELOW QD 1. Original Return THIS RETURN MUST BE FILED IN DUPLICATE WITH THE REGISTER OF WILLS O 2. Supplemental Return O 3. Remainder Retum (Date of Death Prior to 12-13-82) O 4. Limited Estate O 4a. Future Interest Compromise (date of O 5. Federal Estate Tax Return Required death after 12-12-82) QD 6. Decedent Died Testate O 7. Decedent Maintained a Living Trust U 8. Total Number of Safe Deposit Boxes (Attach Copy of Will) (Attach Copy of Trust.) O 9. Litigation Proceeds Received O 10. Spousal Poverty Credit (Date of Death O 11. Election to Tax under Sec. 9113(A) Between 12-31-91 and 1-1-95) (Attach Schedule O) CORRESPONDENT - THIS SECTION MUST BE COMPLETED. ALL CORRESPONDENCE AND CONFIDENTIAL TAX INFORMATION SHOULD BE DIRECTED T0: Name Daytime T~phone NumbP~i- ~ ~7 ~ ~7 Jeffrey N. Yoffie, Esq• ~ (717) 3~ztt?0 ~~ ~ ~ .. :~ _..._ --w .~~. First Line of Address 2 Lemoyne Drive Second Line of Address Suite 100 City or Post Office Lemoyne Correspondent's a-mail address: lYOffe(CaVerlZOn.net State ZIP Code PA '.17043 REGIDrE,~.Of`WILLS USE -- OI~; rY r w,- ref c.~a ~. G:} ~. ,;:,;~ .,.. ::~~, C"~ t:,. tv1 ,~~ f.,,~ ~.''7 `rl f "t fem., .; t -.~ .. 4 r . I _,. - .~ ~ _.. -S : ~ t ._. r~ y, _ r • "~ t %n C.t7 DATE FILED Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct and complete. Declaration of preparer other than the personal representative is based on all information of which preparer has any knowledge. S GNATURE OF PERSON RESPONSIBLE F~pR FI}ING RET N ~ ~ 1~N U ~hr~( Z /Cr YJ .J~'• ~. ~~ v r~i C Z13 D ZC~f ~ ADDRESS 2 Lemoyne Drive, Suite 100, Lemoyne, PA 17043 SIGNATURE OF PREPARER OTHER THAN REPRESENTATIVE DATE ADDRESS 2 Lemoyne Drive, Suite 100, Lemoyne, PA 17043 PLEASE USE ORIGINAL FORM ONLY Side 1 1505610105 1505610105 J r • J 1505610205 REV-1500 EX (FI) Decedent's Social Security Number Decedent's Name: Charles Zykl RECAPITULATION 1. Real Estate (Schedule A) ............................................ . 1. 2. Stocks and Bonds (Schedule B) ...................................... . 2. 375,155.24 3. Closely Held Corporation, Partnership or Sole-Proprietorship (Schedule C) .... . 3. 4. Mortgages and Notes Receivable (Schedule D) .......................... . 4. 5. Cash, Bank Deposits and Miscellaneous Personal Property (Schedule E)...... . 5. 8,039.73 6. Jointly Owned Property (Schedule F) O Separate Billing Requested ...... . 6. 7. Inter-Vivos Transfers & Miscellaneous Non-Probate Property (Schedule G) O Separate Billing Requested....... . 7. 8. Total Gross Assets (total Lines 1 through 7) ............................. 8. 383,194.97 9. Funeral Expenses and Administrative Costs (Schedule H) ........... ........ 9. 17,399.77 10. Debts of Decedent, Mortgage liabilities and Liens (Schedule I) ....... ........ 10. 12,625.53 11. Total Deductions (total Lines 9 and 10) ......................... ........ 11. 30,025.30 12. Net Value of Estate (Line 8 minus Line 11) ...................... ........ 12. 353,169.67 13. Charitable and Governmental Bequests/Sec 9113 Trusts for which an election to tax has not been made (Schedule J) ................ ........ 13. 14. Net Value Subject to Tax (Line 12 minus Line 13) ................ ........ 14. 353,169.67 TAX CALCULATION -SEE INSTRUCTIONS FOR APPLICABLE RATES 15. Amount of Line 14 taxable at the spousal tax rate, or transfers under Sec. 9116 16. Amount of Line 14 taxable at lineal rate X .0 _ 16, 17. Amount of Line 14 taxable at sibling rate X .12 17. 18. Amount of Line 14 taxable at collateral rate X .15 353,169.67 18 52,972.42 19. TAX DUE ....................................................... .. 19. ' 52,975.45 20. FILL IN THE OVAL IF YOU ARE REQUESTING A REFUND OF AN OVERPAYMENT O Side 2 1505610205 1505610205 T REV-1500 EX (FI) Page 3 File Number Decedent's Complete Address: DECEDENTS NAME STREETADDRESS ---- - ---- CITY STATE ZIP PA Tax Payments and Credits: 1. Tax Due (Page 2, Line 19) 2. Credits/Payments A. Prior Payments 50,323.80 B. Discount 2,648.62 3. Interest 4. If Line 2 is greater than Line 1 + Line 3, enter the difference. This is the OVERPAYMENT. Fill in oval on Page 2, Line 20 to request a refund. 5. If Line 1 + Line 3 is greater than Line 2, enter the difference. This is the TAX DUE. (1) 52,975.45 Total Credits (A + g) (2) 52,972.42 (3) (4) (5) 3.03 Make check payable to: REGISTER OF WILLS, AGENT. PLEASE ANSWER THE FOLLOWING QUESTIONS BY PLACING AN "X" IN THE APPROPRIATE BLOCKS 1. Did decedent make a transfer and: Yes No a. retain the use or income of the property transferred ................................................................................... ....... ^ b. retain the right to designate who shall use the property transferred or its income ..................................... ....... ^ c. retain a reversionary interest ........................................................................................................................ ...... ^ d. receive the promise for life of either payments, benefits or care? ............................................................... ....... ^ 2. If death occurred after Dec. 12, 1982, did decedent transfer property within one year of death without receiving adequate consideration? ........................................................................................................ ...... ^ 3. Did decedent own an "in trust for" or payable-upon-death bank account or security at his or her death? ........ ...... ^ 4. Did decedent own an individual retirement account, annuity or other non-probate property, which contains a beneficiary designation? ............................................................................................ IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS YES, YOU MUST COMPLETE SCHEDULE G AND FILE IT AS PART OF THE RETURN For dates of death on or after July 1,1994, and before Jan. 1, 1995, the tax rate imposed on the net value of transfers to or for the use of the surviving spouse is 3 percent [72 P.S. §9116 (a) (1.1) (i)]. For dates of death on or after Jan. 1, 1995, the tax rate imposed on the net value of transfers to or for the use of the surviving spouse is 0 percent (72 P.S. §9116 (a) (1.1) (ii)]. The statute does not exempt a transfer to a surviving spouse from tax, and the statutory requirements for disclosure of assets and filing a tax return are still applicable even if the surviving spouse is the only beneficiary. For dates of death on or after July 1, 2000: • The tax rate imposed on the net value of transfers from a deceased child 21 years of age or younger at death to or for the use of a natural parent, an adoptive parent or a stepparent of the child is 0 percent [72 P.S. §9116(a)(1.2)]. The tax rate imposed on the net value of transfers to or for the use of the decedent's lineal beneficiaries is 4.5 percent, except as noted in [72 P.S. §9116(a)(1)]. • The tax rate imposed on the net value of transfers to or for the use of the decedent's siblings is 12 percent [72 P.S. §9116(a)(1.3)]. Asibling is defined, under Section 9102, as an individual who has at least one parent in common with the decedent, whether by blood or adoption. f COMMONWEALTH OF PENNSYLVQ """ COUNTY OF CUMBERLAND SHORT CERTIFICATE I, GLENDA EARNER STRASBAUGH Register for the Probate of Wills and Granting Letters of Administration in and for CUMBERLAND County, do hereby certify that on the 16th day of May, Two Thousand and Twelve, Letters TESTAMENTARY in common form were granted by the Register of said County, on the estate of CHARLES ZYK/ 1 a to of UPPER ALLEN TOWNSH/P (First, Middle, Load in said county, deceased, to JEFFREY N YOFFE (First, Middle Lastl and that same has not since been revoked. IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed the seal of said office a t CARLISLE, PENNSYLVANIA, this 16th day of May Two Thousand and Twelve . File No. 2012-00566 PA Fi I e No . 21- 12- 0566 Date of Death 4/21/2012 S . S . # 201-16-7000 egrs er r s -~~~1 ~~o~~ o.~s~n eputy NOT VALID WITHOUT ORIGINAL SIGNATURE AND IMPRESSED SEAL , LAST WILL AND TESTAMENT OF CHARLES ZYKI I, CHARLES ZYKI, formerly known as Charles Zyk, presently of Swatara Township, Dauphin County, Pennsylvania, 17110, being of sound mind, memory and understanding, do make and publish this, my Last Will and Testament, hereby revoking and making void all former Wills by me at any time heretofore made. ITEM I: 1 direct that all my just debts, funeral expenses and inheritance taxes which may become due as a result of my death, be fully paid and satisfied as soon as conveniently may be after my decease. ITEM II: I give, devise and bequeath unto my friend, NORMAN M. YOFFE, twenty (20%) percent of the rest, residue and remainder of my estate of every nature and wherever situate, provided that he survives me by thirty (30) days after the date of my death. In the event my friend, NORMAN M. YOFFE, predeceases me or dies on or before the thirtieth (3O`h) day following the date of my death, I give, devise and bequeath his share, equally, to my other residual beneficiaries or the survivors of them as hereinafter provided. ITEM Ili: I give, devise and bequeath all of the rest, residue and remainder of my estate of every ' nature and wherever situate, to the follawing individuals, or the survivor of them, in equal shares: A. To my brother, LEONARD C. ZYKI of 13 Cross Hollow, Greenville, SC 29607; . 6. To my niece, PRISCILLA (ZYKI) HALL, 9062 Bayshore Drive, MI 49837; C. To my nephew,lOSEPH ZYKI, Roanoke, VA; D. My nephew, LEONARD ZYKI,IR., 15041 County Line Road, Odessa, FL 33556; E. My niece, DIANE C. ZYKI, Hyannis, MA. ITEM IV: In addition to the powers conferred by iaw, I authorize my Executor in his absolute G ,Z 1 CZ 1 7 I discretion: A. To retain in the form received, and to sell either at public or private sale any real or personal property. B. To manage real estate. C. To invest and reinvest only in forms of property defined as legal investments according to the laws of the Commonwealth of Pennsylvania. D. To exercise any optional rights arising from ownership of investments. E. To compromise claims without court approval, and without consent of any beneficiary. ITEM V: No interest of any beneficiary under this Will or any Codicil hereto shall be subject to anticipation or voluntary or involuntary alienation, and the personal receipt of such beneficiary shall be the sufficient and only discharge my Executor unless otherwise provided herein. ITEM VI: I hereby nominate, NORMAN M. YOFFE, to be and act as Executor of this, my Last Will and Testament. In the event NORMAN M. YOFFE, predeceases me or otherwise fails to qualify as Executor, I appoint,lEFFREY N. YOFFE, ESQUIRE, to be and act as Executor of this my last Will and Testament. No bond shall be required by my Executor in Pennsylvania or in any otherjurisdidion. IN WITNESS WHEREOF, I have hereunto set my hand and seal this o~ t ~ day of P , 1999. c.~n.~s z~~- CHARLES ZYKI, formerly known as Charles Zyk C7 2 ~ 1 ~ The preceding instrument consisting of this and two (2) other typewritten pages, was on the date thereof signed, published and declared by CHARLES ZYKI, formerly known as Charles Zyk, Testator therein named, as and for his Last Will, in the presence of us, who at his request, in his presence and in the presence of each ~ other, have subscribed our names and witnesses hereto. ~at,Gt.~ Ca., of 3S ~ a ~ /~/~~ of 4058/99-596 rS 3 a ~ r CODICIL I, Charles Zyki, hereby make this Codicil to my Last Will and Testament dated October 27, 1999. 1. "Item III" as presently appearing shall be re-designated to read "Item III(1)" 2. The devise in III (1) (A) to Lenoard C. Zyki is hereby deleted as he has predeceased me on November 11, 1999. 3. A paragraph Item III(2)(a) and (b) are to be added to my aforesaid Will, to read as follows: "(a). Anything hereinabove to the contrary notwithstanding, if any of the individuals named in Item III(1)(A through E as above) are deceased at the time of my death, or cannot be located, then I direct that my cousin Nancy Marino, of 10 Middle Road, Newark, nelaTaare, 19711-614]., be substituted as a devisee for that deceased person or one who cannot be located (or for one of them if there is more than one such deceased or un-locatable person). (b). Any aforesaid devisee, or substituted devisee (in the case of Nancy Marino) shall be deemed to be un-locatable if my personal representative cannot located him or her (as the case may be), 1) after making reasonable efforts to do so for a period of one year after my death and personal representative's appointment, whichever is the latest to occur, and 2) until final Court approval of an Order of Distribution pertaining to my estate, whichever is the later to occur [as between (b)(1) and (b)(2)]. IN WITNESS WHEREOF, I have hereunto set my hand and seal this ~~ day of ~•, ~~9.~4 `~~- ~~ TESTATOR ~~ CHARLES ZYKI (SEAL) WI S ED: ADDRESS ~~~lY tf < < 11~~j ADDRESS ~~ ~~ ~- r ~ . COMMONWEALTH OF PENNSYLVANIA: §§ COUNTY OF Charles Zyki, the Testator, along with the above named witnesses, whose names are signed to the foregoing instrument, being first duly sworn, each hereby declares to the undersigned authority that the Testator signed and executed the above Codicil in the presence of the witnesses and that he had signed willingly, and that he executed it as his free and voluntary act for the purposes therein expressed, and that each of the witnesses, in the presence and hearing of the Testator, signed the above Codicil and that to the best of their knowledge the Testator was at the time eighteen years of age or older, of sound mind and under no constraint or undue influence. Subscribed, sworn to and acknowledged before me by Charles Zyki the Testator, and subscribed and sworn to before me by the above witnesses, this ~ g~"`~ day of .1~Ie~*e~er, z''~6~~"~ ~u n e , 2_caa-r .~ NOTARY PUB IC My Commission Expires : "~,~ a. ti ~ ~o ~o NOTARN! SEAL IYDiA R OMVIS Nobly PubNc WVALItEA 1WP QA#1PFOr1 COINVry ~h CaTMr~won ExpM~s Jon 27, 2010 zyki\codicil REV-1503 EX+ (8-1z) ~ Pennsylvania DEPARTMENT OF REVENUE INHERITANCE TAX RETURN RESIDENT DECEDENT SCFIEDI~LE B STOCKS & BONDS ESTATE OF FILE NUMBER Charles Zyki 2012-0566 All property jointly owned with right of survivorship must be disclosed on Schedule F. 1r more space is needed, insert additional sheets of the same size REV-i5o8 EX+ (o8-iz) Pennsylvania DEPARTMENT OF REVENUE INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE E CASH, BANK DEPOSITS & MISC. PERSONAL PROPERTY ESTATE OF: FILE NUMBER: Charles Zyki 2012-0566 Include the proceeds of litigation and the date the proceeds were received by the estate. All property jointly owned with right of survivorship must be disclosed on Schedule F. ~~ more space is neeaea, use aaaitionai sheets of paper of the same size. r ~ 1 REV-151.] EX+ {i[)-09) ~i`1 Pennsylvania ~_ DEPARTMENT OF REVENUE INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE H FUNERAL EXPENSES AND ADMINISTRATIVE COSTS ESTATE OF FILE NUMBER Charles Zyki 2012-0566 Decedent's debts must be reported on Schedule I. ITEM NUMBER DESCRIPTION AMOUNT A. FUNERAL EXPENSES: I' Parthemore Funeral Home 2,662.47 2. Emanuel Cemetery 500.00 s. Gingrich Memorals 754.60 e, ADMINISTRATIVE COSTS: 1. Personal Representative Commissions: Name(s) of Personal Representative(s) Jeffrey N. Yoffie Street Address 2 Lemoyne, Drive, Suite 100 ~;ty Lemoyne _ state PA ZIp 17043 Year(s) Commission Pald: z• Attorney Fees: 3. Family Exemption: (If decedent's address is not the same as claimant's, attach explanation.) Claimant Street Address City State ZIP Relationship of Claimant to Decedent 4• Probate Fees: 5. Accountant Fees: 6• Tax Return Preparer Fees: ~• Carlisle Sentinel (For Advertising Letters) $. Cumberland Law Journal (For Advertising Letters) TOTAL (Also enter on Line 9, Recapitulation) I $ If more space is needed, use additional sheets of paper of the same size. 13,000.00 292.50 115.20 75.00 17,399.77 ~• r REV-7.51.2 EX+ ;.12-17..) ~ Pennsylvania SCHEDULE I DEPARTMENT OF REVENUE DEBTS OF DECEDENT, INHERITANCE TAX RETURN MORTGAGE LIABILITIES & LIENS RESIDENT DECEDENT ESTATE OF FILE NUMBER Charles Zyki 2012-0566 Report debts incurred by the decedent prior to death that remained unpaid at the date of death, including unreimbursed medical expenses. ITEM VALUE AT DATE NUMBER DESCRIPTION OF DEATH 1• Owed To Yoffie & Yoffie, P.C. For Services Performed As POA And Attorney Prior To Date Of Death 5,139.23 2. Pinnacle Health (120294044) 50.00 3. Messiah Lifeways (31226) 5,350.00 4. Alert Pharmacy (Zykic GRP-7w) 97.30 5. East Pennsboro Ambulance (12-133595) 25.00 6. Special Event Emergency Medical Services (12-139049) 25.00 7. East Pennsboro Ambulance (12-130095) 25.00 8. Pinnacle Health Hospitals c/0 Computer Credit, Inc. (120261154) 50.00 9. Pinnacle Health (197386) 15.00 10 Susquehanna Twp EMS (8481) 45.00 11. PA Department of Revenue - 2011 Tax Liability 10.00 12. IRS - 2011 Tax Liability 1,794.00 TOTAL (Also enter on Line 10, Recapitulation) I $ 12,625.53 If more space is needed, insert additional sheets of the same size. y + ~ ) REV-1513 EX+ (01-10) pennsylvania DEPARTMENT OF REVENUE INHERITANCE TAX RETURN RESIDENT DECEDENT SCHEDULE ] BENEFICIARIES ESTATE OF: FILE NUMBER: Charles Zyki 2012-0566 RELATIONSHIP TO DECEDENT AMOUNT OR SHARE NUMBER NAME AND ADDRESS OF PERSON(S) RECEIVING PROPERTY Do Not List Trustee(s) OF ESTATE I TAXABLE DISTRIBUTIONS [Include outright spousal distributions and transfers under Sec. 9116 (a) (1.2).] 1. Priscilla Hall Niece 25% 2. Joseph Zyki or Nancy Marino Nephew or Cousin 25% 3. Leonard Zyki, Jr. Nephew 25% 4. Diane C. Zyki Niece 25% ENTER DOLLAR AMOUNTS FOR DISTRIBUTIONS SHOWN ABOVE ON LINES 15 THROUGH 18 OF REV-1500 COVER SHEET, AS APPROPRIATE. NON-TAXABLE DISTRIBUTIONS A. SPOUSAL DISTRIBUTIONS UNDER SECTION 9113 FOR WHICH AN ELECTION TO TAX IS NOT TAKEN: 1. B. CHARITABLE AND GOVERNMENTAL DISTRIBUTIONS: 1. TOTAL OF PART II -ENTER TOTAL NON TAXABLE DISTRIBUTIONS ON LINE 13 OF REV-1500 COVER SHEET. I # If more space is needed, use additional sheets of paper of the same size. = ~ ~ 0 ~ vdt! ~1t C~ "' Statement overview Accounts Value on osr~1RO12 Vanguard Voyager Services® Voyager Services: 800-2847245 $o.oo .Total value of all accounts as of[rJune 3D, 2012 vai°e °° Balance trend os~sonol2 Charles Zyki Individual account :188,745,85 S0.8p szoo,ooo »,- s100.000 `"""'a so m-rm`nrrrr 2008 2009 2010 2011 2012 Investment return (market change, dividends, interest, capital gains) Since June 30, 2007: $25,944.73 For more information on your account, including tools to help you set up a target asset allocation, log on to vanguard.com. June 30, 2012, quarter-to-date statement Page 2 of 6 • ~ a $ ~cVl~tidCt~ " '~ Individual aCCOUnt Vanguard Voyager Services® Charles Zyki Voyager Services: 800-284-7245 Account overview $o.oo Total vahis of all accounts as of Jena 30, 2012 Year-to-date income Taxable income $3,068.54 Nontaxable income 0.00 Total ~,ggg,54 Balances and holdings for Vanguard funds Beginning on January 1, 2012, new tax rules on taxable Inonretirement) mutual fund accounts (excluding money market funds) require Vanguard to track cost basis information for shares acquired and subsequently sold, on or after that date. Unless you select another method, sales of Vanguard mutual funds, but not ETFs, will default to the average cost method. We'll begin reporting cost basis to the IR5 in 2013. For more information, visit vanguard.com/costbasis. Fund & Average puce Balance on Balance on Symbol Name account _ _ per share Total wst 03/31/2012 06/30/2012 VWEAX High-Yield Corp Fund Adm 0529-0993100D374 - - $106,015.77 $0.00 VFIAX 500 Index Fund Adm 0540-09931 D00374 - - 82,730.08 0.00 5186,745.85 50.00 June 30, 2012, quarter-to-date statement Page 3 of 6 ~ , ~ ~ ~ ~y ~~ r Individual account Vanguard Voyager Services® Charles Zyki Voyager Services: 800-284-7245 Account activity for Vanguard funds High-Yield Corp Fund Adm 0529-09931000374 PWaheses Withdrawals Dividends $0.00 -$105,853.83 $953.07 30-day SEC yield as of 06129/2012' 5.76°,6 "'Based on holdings' yield to maturity for last 30 days; di stribution may differ. For updated information, visit vanguard,com. Dale Transaction Shares Amount Share price transacted Total shares owned Value Beginning balance on 3/31/2012 $5.84 18,153.386 $106,015.77 04/30 Income dividend $571.00 5.87 97.274 18,250.660 05/18 Sell electronic bank transfer -105,853.83 5.80 -18,250.660 0.000 05/18 Income dividend check 382.07 0.000 Ending balance on 6/30/2012 ~,g~ 0 ~ ~ ~ Effective May 23, 2012, we eliminated contingent redemption fees on 33 Vanguard funds. These fees had been assessed if the funds were sold before their specified holding periods. For a full list of the funds no longer charging contingent redemption fees, go to vanguard.com/feechanges. 5001ndex Fund Adm 0540-09931000374 Purchases Wdhdrewals Dividends $O.DO -$76,317.19 $0.00 Date Transaction Shares Amount Share price transacted Total shares owned Value Beginning balance on 3/31/2012 $129.78 637.464 $82 730 08 05/18 Sell electronic bank transfer -$76,317.19 119.72 -637.464 , . 0.000 Ending balance on 6/30/2012 5125.55 g,ggg ~ ~ June 30, 2012, quarter-to-date statement Page 4 of 6 ~ r ~ ~ ~ ~ ~ "U~'t~lldtY~~', r Individual account Vanguard Voyager Services® Charles Zyki Voyager Services: 800-284-7245 Raaflzed gains and losses You can get cost basis information for both realized and unrealized gains and losses for your Vanguard account at vanguard.com. Some or all of this information may be reported to the IRS on Form 1099-B Proceeds from Broker and Barter Exchange Transactions. Vanguard provides cost basis information using the average cost method for mutual funds and first in, first out for other holdings, unless you've selected another method. You may want to consult a tax advisor to determine the appropriate method for you. Certain adjustments may change the basis we're currently reporting to you. In that event, we'll send you revised realized gain and loss information. A dash indicates the information on our system was incomplete at the time this document was generated. See IRS Publication 550 (Investment Income and Expenses) for additional information. Vanguard funds High-Yield Corp Fund Adm 0529-09931000374 Term Date sold quantity Proceeds Total cost Gain/Loss Disallowed bss Total gain / Allowable loss Short-term Long-term 05/18 05/18 1 1,229.932 7,020.728 $7,133.60 98,720.23 $7,778.35 111,431.01 ($644.75) (12,710.78) $0.00 0.00 ($644.75) (12,710.78) 500 Index Fund Adm 0540-09931000374 Term Date sold ~uanthy Proceeds Total cast Gain/Loss Disallowed loss Total gain / Allowable loss Shan-term Lang-term 05/18 05/18 13.175 624.289 $1,577.32 74,739.87 $1,498.06 68,427.13 $79.26 6,312.74 $0.00 0.00 $79.26 6,312.74 June 30, 2012, quarter-to-date statement Page 5 of 6 ~ i ~. ~ n O f/! 7 W d ~, 3 b9 O O O d !O A J O 69 O O O 2 O .. 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