Organizational Tax Research and Planning

ESTATE MANAGEMENT Name Institution Affiliation Course Date of Submission Estate management In response to the IRS assertions on undervaluation of property, IRS should consider that property valuation is procedural. There are various general guidelines that are followed when it comes to property evaluation to avoid biasness of the final accounting figure. . The internal Revenue service before laying the claim should consider that the property was taken through the following valuation process and guidelines which are all clear to IRS as it was one of the bodies involved in the valuation. They include, first is the selecting the date of calculation for the valuation exercise. In this case, the date of the decendent is used or any alternate date in the course of the next six months after death. All assets are valued as at the date of regardless dates of sales or distribution (Jackson, 2010). Alternate date requires either valuation of property sold within six months are valued as an alternate date or asset sold six months after death are valued as at date of sale. Second, all financial statements are gathered and dated as at date of calculation. They include all statements regarding all financial accounts. It is vital to note that only the annuities receivable by any beneficiary by surviving decedent under concise plans should be accounted for during property valuation (Internal Revenue Service, 2006). Third, determination of the total value of financial accounts gathered above. Account owned 100% is accounted fully, 50% owned may be with a spouse only 50% is accounted and finally joint account with 100% survivorship is fully accounted for. Fourth, determination of the total value of life insurance policies. IRS values are used. Fifth, determine real property value as at date of calculation. This is done through use of values from licensed appraiser for tax. Sixth one is total value of available vehicles. The values a...