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HomeMy WebLinkAbout06-13-06 (2) REV-1470 EX (6-88' INHERITANCE TAX EXPLANA TION OF CHANGES COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF REVENUE BUREAU OF INDIVIDUAL TAXES PO Box 280601 HARRISBURG PA 17128-0601 DECEDENT'S NAME Heckendorn, Richard L. FILE NUMBER REVIEWED BY Daniel Heck ACN 2105-0877 101 ITEM SCHEDULE NO. EXPLANATION OF CHANGES Specific bequests are taxable outright to the beneficiarylies before determining residue. H B-3 The claim for the family exemption has been disallowed. The claimant must be a spouse or if no spouse. a parent or child living in the same household as the decedent as of the date of death. J 11-1 The Department does not recognize the common law marriage status, as the decedent and Ms. Malloy both filed their income tax return prior to the decedent's date of death as single persons, Assets passing to Ms. Malloy are taxable at the 15% collateral tax rate. The rule, which permits a finding of marriage intent solely based upon reputation and cohabitation alone, is one of necessity to be applied only in cases where other proof is not available. Nikitka's Estate, 346 Pa. 63, 29 A.2d 521 (1943) and In Re Estate of Rees, 331 Pa_ Super. 225, 480 A.2d 327 (1984). The courts have recoanized that the filina of tax returns as a sinale individual is evidence to refute the presumption. Such evidence is an admission bv a party that no marriaae was formed. See. In Re Estate of Rees at 231 , 330. Inconsistent statements such as those of not wantina to aet married and the filina of tax returns as a sinale person are a sufficient basis to refute the presumption of the creation of a marriaae. See. Gavula Estate, 490 Pa. 535, 417 A.2d 168 (1980). ROW Page 1