Blank Et 117 Template

What is the purpose of the ET 117 form?

The ET 117 form, known as the Release of Lien of Estate Tax, is used to release any lien associated with the estate tax on real property or cooperative apartments in New York State. When the estate tax is paid or if certain conditions are met, this form confirms that the tax lien is no longer applicable, allowing the property to be freely transferred or sold.

Is there a fee for filing the ET 117 form?

No, there is no fee required for filing the ET 117 form. This means that you can submit the form without worrying about any associated costs, making it easier for you to manage estate-related paperwork.

Who should file the ET 117 form?

1. Incomplete Information: Failing to fill out all required fields on the ET-117 form can lead to delays. Every section must be completed accurately.

2. Incorrect Attachment: Submitting the ET-117 without the necessary estate tax return (ET-706 or ET-90) can result in the form being returned or denied. Ensure that the correct documents are included.

3. Improper Mailing Address: Sending the completed form to the wrong address is a common error. Use the NYS Estate Tax Processing Center address specified in the instructions for submission.

4. Lack of Accurate Property Descriptions: When listing real property or cooperative apartments, it is crucial to provide precise details such as book of deeds, section, block, and lot numbers. Missing information can lead to complications in processing.

5. Not Following Additional Filing Requirements: Failing to use separate forms for multiple properties or cooperative corporations can create issues. Each parcel or corporation needs a distinct ET-117 for processing.

When dealing with estate taxes in New York, the ET-117 form is just one of several necessary documents. Understanding these accompanying forms can help streamline the process of releasing a lien on estate tax and ensure compliance. Below is a list of related forms that are often used in conjunction with the ET-117 form.

• Form ET-706: This is the New York State Estate Tax Return. It must be filed for estates exceeding a certain value threshold. It details all assets and liabilities of the deceased.
• Form ET-90: This is a simplified estate tax return for smaller estates that do not exceed a specified value. It simplifies the filing process, making it less burdensome for smaller estates.
• Form ET-85: This form is used for requesting a waiver of the estate tax lien. It is typically filed when one wants to clear a property title prior to transferring ownership.
• Form ET-30: This is the Application for Extension of Time to File a New York State Estate Tax Return. Executors use this form when they need additional time beyond the standard filing deadline.
• Form TT-385: This form serves as a tax clearance request. It’s often necessary for estates transitioning ownership of property to ensure outstanding tax obligations have been satisfied.
• Form TT-102: This is a notice of estate tax adjustment. It addresses adjustments made to previously filed estate tax returns and may result in additional taxes owed or refunds due.
• Form DTF-17: This is a New York State application for a Taxpayer Identification Number (TIN). Executors must provide a TIN when filing tax returns on behalf of the deceased estate.
• Form IT-201: This is the New York State Resident Income Tax Return. If the deceased was receiving income, this form helps report any income generated by the estate after death.
• Form CPD-5: This is the certificate of the estate tax lien. It establishes the priority of the estate tax claim against the estate and serves as an official record.
• Form DTF-5: This is a final release form for estate taxes owed. It proves that the estate’s tax obligations have been met and no further taxes are due.

In understanding these forms and their purposes, individuals managing an estate can navigate the complexities of New York’s estate tax system more effectively. It is essential to file the correct forms timely to avoid complications and ensure a smooth transfer of property.

The Form ET-706, New York Estate Tax Return, is one of the primary documents related to estate tax. It is used to calculate the total estate tax liability of a decedent’s estate. Similar to the ET-117, it requires details about the decedent and the estate. Once the tax has been assessed, a lien may be placed against the estate, which the ET-117 can later release. Both forms require specific property details and share a common purpose surrounding the management and distribution of estate assets.

The Form ET-90, Claim for Refund for New York Estate Tax, serves a related function. It permits individuals to request refunds on any estate tax overpayments. Like the ET-117, the ET-90 requires the filer to provide details about the decedent and the estate. In the event that a return shows excess payments, the refund process begins, potentially leading to a release of liens similar to the ET-117. Each form plays a role in the tax lifecycle of an estate.

Form ET-85, New York State Affidavit of No Estate Tax Due, allows executors or administrators to confirm that no estate tax is owed. This document is crucial when handling assets after a death. It serves a similar purpose to the ET-117, which officially releases taxes on properties of the estate. Both forms assure interested parties that tax liabilities have been satisfied or are not present, which facilitates smoother property transactions.

The Form ET-30, New York State Estate Tax Extension Form, grants an extension for filing the estate tax return. This form encourages compliance by providing additional time for preparation. While the ET-117 is used for releasing liens on properties, the ET-30 helps to establish the timeline necessary for filing the documents associated with estate taxes. Both are essential in managing the estate's tax responsibilities.

The Form TT-385, Application for Estate Tax Exemption for Certain Multistate Estates, is also closely related to the ET-117. It is used by estates that qualify for a tax exemption under specific conditions. When completed and accepted, this form can ease the estate tax burden, similar to the lien release offered by the ET-117. Both forms require similar identification of the assets and beneficiaries involved.

Form TT-102, Application for Reinstatement of Estate Tax Exemption, works similarly by allowing estates to apply for reinstatement of tax exemptions that may have expired otherwise. This application can lead to the resolution of tax disputes related to estate tax liabilities. The ET-117 is then used to release any liens if the exemptions are granted. Each document is integral in ensuring that the estate tax obligations are properly managed.

The Form IRS 706, United States Estate (and Generation-Skipping Transfer) Tax Return, is a federal counterpart to the New York tax forms. It is necessary for reporting the value of an estate and calculating any federal estate tax owed. While the ET-117 releases property from a state lien, the IRS 706 ensures all federal obligations are addressed. Together, they streamline the process of settling an estate.

Form IRS 709, United States Gift (and Generation-Skipping Transfer) Tax Return, impacts estate planning by addressing gifts made during the lifetime of the decedent. This form allows for the appropriate accumulation of tax obligations that may influence the estate's value. The proper handling of this form may affect the claims resulting in releases on the estate’s properties, similar to what the ET-117 accomplishes.

The Form New York State Form 1040, Individual Income Tax Return, focuses on the decedent’s income tax obligations rather than estate taxes. While it serves a different purpose, it is equally important for resolving financial matters following a death. Understanding the combined implications of estate and income taxes is crucial for administering an estate effectively, tying it back to the significance of liens like those managed with the ET-117.

When filling out the ET-117 form, there are essential guidelines to follow. Proper adherence to these steps will ensure the process goes smoothly.

• Do ensure that you accurately complete all required sections of the form, including the name, address, and details of the real property or cooperative apartment.
• Do check whether you have filed the necessary New York State estate tax return before submitting the ET-117. This is a critical step.
• Do mail the completed form to the correct address, which depends on whether you are filing an amended return or not.
• Do keep a copy of the completed ET-117 and any related documents for your records.

• Don't neglect to use separate forms for each county or for cooperative corporations associated with the estate.
• Don't forget to file the validated release of lien with the county clerk, as this is necessary for the release to be effective.
• Don't falsify or provide inaccurate information on the form, as this could lead to legal repercussions.
• Don't submit the ET-117 form without ensuring that the state seal is affixed, as the release will not be valid without it.

Understanding the ET-117 form can be challenging due to various misconceptions. Here’s a list that clarifies common misunderstandings:

1. There is a fee for filing the ET-117 form. Many believe that submitting this form incurs a fee. However, there is no charge for a release of lien.
2. Only residents of New York can file the form. Anyone, including non-residents, can file the ET-117 if they have property that falls under New York estate tax rules.
3. One form suffices for multiple properties. Each property in a different county requires a separate ET-117 form, contradicting the belief that one form can cover multiple locations.
4. This form can be submitted without a prior estate tax return. It is essential to file either the ET-706 or ET-90 to proceed with the ET-117. Submitting it without these forms can result in delays.
5. There's no need to file with the county clerk. For the release of lien to be valid, it must be filed with the appropriate county clerk or commissioner of deeds.
6. Executors are free from liability once the form is submitted. Executors may still face personal liability for unpaid estate taxes, so they should proceed cautiously.
7. The ET-117 form is only for real property. This misconception overlooks that the form is also applicable for cooperative apartments and requires separate submissions for each.
8. All information on the form is optional. In fact, accurately completing all sections, including property details and estate information, is crucial for validation.
9. The state seal isn't necessary for all submissions. The absence of the state seal invalidates the release, highlighting its importance in the process.
10. The form can be filed electronically. Currently, the ET-117 must be mailed physically; electronic submission is not applicable.

Understanding the ET-117 Form is essential for efficiently managing estate tax liens. Here are key considerations:

• No Fee for Release: There is no cost associated with obtaining a release of lien using the ET-117 form. This is beneficial for estate administrators.
• Filing Requirements: If a New York State estate tax return has been filed (Form ET-706 or ET-90), submit the completed ET-117 with the appropriate return. For non-amended filings, the form must be sent directly to the NYS Estate Tax Processing Center.
• Property Specifics: The ET-117 allows for the listing of up to two parcels of real estate within the same county. For properties in different counties or for cooperative apartments, a separate form must be completed.
• Executor Liability: The executor may become personally responsible for any unpaid estate tax related to distributed assets. This includes potential liability for surviving spouses and beneficiaries based on the value of their inherited property.