Estate of Anna Soberdash, Deceased, Wilma Porada and Mary Ann Lacek, Co-Executrices - Page 7

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          claimed for property passing to a surviving spouse where the                
          interest of a surviving spouse may eventually terminate or fail.            
          However, section 2056(b)(7) allows a marital deduction for QTIP.            
          QTIP is defined in section 2056(b)(7)(B)(i)(I)-(III) as property            
          which passes from the decedent, in which the surviving spouse has           
          a qualifying income interest for life, and to which an election             
          applies.                                                                    
               Section 2056(b)(7)(B)(ii)(I) and (II) provides that the                
          surviving spouse has a qualifying income interest for life if the           
          surviving spouse is entitled to all the income from the property,           
          payable annually or at more frequent intervals, and no person has           
          a power to appoint any part of the property to any person other             
          than the surviving spouse.  Under section 2056(b)(7)(A)(i) and              
          (ii), QTIP is treated for purposes of section 2056(a) as passing            
          to the surviving spouse, and for purposes of section                        
          2056(b)(1)(A) as not passing to any person other than the                   
          surviving spouse.  Pursuant to section 2056(b)(7)(B)(v), a QTIP             
          election with respect to any property shall be made by the                  
          executor on the Federal estate tax return, and once made, is                
          irrevocable.                                                                
               Section 2044 sets forth the tax treatment of the QTIP in the           
          estate of the surviving spouse.  Under section 2044(a), the value           
          of the gross estate includes the value of any property to which             
          this section applies in which the decedent had a qualifying                 
          income interest for life.  Section 2044(b)(1)(A) applies section            




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