How to Complete Schedule O for Estate Form 706

Use Schedule O to claim a charitable deduction when filing federal estate tax returns (Form 706, United States Estate (and Generation-Skipping Transfer) Tax Return). You may claim a charitable deduction on Schedule O if your decedent left a bequest, legacy, devise, or transfer for a qualified charitable purpose to any qualified charitable organization.

See the Instructions for Form 706 regarding Schedule O for the five general categories of qualified charitable organizations.

You may take an estate tax charitable deduction for amounts transferred to charitable organizations as a result of a qualified disclaimer. A qualified disclaimer is a refusal to accept an interest in property under certain, specific circumstances. When a disclaimant refuses an interest, the disclaimed property goes to another person or entity; if it is transferred to a charitable organization then this transaction is deductible on Schedule O.

Consult your tax expert to be sure you have met all of the requirements to qualify for this disclaimer. In addition to disclaimers, the instructions for Schedule O list other types of property which qualify for the charitable deduction. If you have any questions about a charitable gift made by your decedent, or about how to report the gift, consult an estate tax expert.

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