Estate and Trust Forum
| Jurisdiction | Colorado,United States |
| Citation | Vol. 8 No. 12 Pg. 2397 |
| Pages | 2397 |
| Publication year | 1979 |
1979, December, Pg. 2397. Estate and Trust Forum
The reports of the death of the Colorado Inheritance and Gift Tax Division are greatly exaggerated. While we may have been mortally wounded, the heart still beats and the brain still functions. Perhaps the age-old clich$eA that nothing is certain but death and taxes should be re-examined in light of recent developments. Medical science and technology have made even death a sometimes dubious event. Legislation has made certain forms of taxation soon-to-be-extinct species. Until the elimination of our Division occurs, however, it is the intent of the Division to carry out its functions and duties in the same manner which has become expected of it in the past. Our death throes have not yet yielded to rigor mortis.
The current law with which we are all familiar will be operative until January 1, 1980. It is applicable to the reporting and audit requirements of all estates which report a decedent's date of death prior to January 1, 1980, regardless of when the tax statement is filed. All of the practices and procedures relating to these statutes will be followed and adhered to by this Division insofar as its audit processes, release requirements and statutory interpretations are concerned. No concession will be made by the Division during its phase out operations in respect to any individual estate if that concession would be based solely on the theory that the law has been repealed. Accordingly, all of the statutory provisions regarding the supply of necessary information, extension of time to file, payment in installments, waiver of late filing penalty, safe deposit box inventory and releases must be met by both the estate and the Division.
Before discussing the new Colorado Estate Tax Law as enacted in H. B. 1611, I would first like to acknowledge William Schley, William McDonald, Richard Robinson, Joseph Hodges, Jr. and Jay Lutz for the effort, expertise, cooperation and courtesy they offered. It is because of their concern and their ability that the following material is available at this time.
Effective for estates of decedents dying on or after January 1, 1980, the Colorado Estate Tax form must be used.
Finally, there are two specific matters which should be called to your attention. First, the present procedure regarding safe deposit box inventories and releases will also be followed under the new law. Upon notification of death, the bank, savings and loan or other institution in which the box is located will seal the box. The request for the release will be made, as is presently our procedure, by the institution to our Division. The same manner of releasing the box will then be followed as we are presently using. This entails the exchange of information between the personnel of the bank or institution at which the box is located and our office; the inventory/noninventory requirement and the signing of the form now in use. Secondly, except for the safe deposit box release process, the Division will not issue any individual releases or consents to transfer. The Certificates of Estate Tax Determination or Non-Liability referred to in § C.R.S. 1973, 39-23.5-113(3), as amended, copies of which appear below (see Appendices), constitute the sole forms to be issued by this Division.
It is necessary that every estate wishing or needing a Certificate file a Colorado Estate Tax Return whether or not the estate is taxable. The return must be properly and completely executed. If the estate is not taxable, nothing other than the Colorado return need be submitted. If the estate is taxable, in addition to the Colorado return, a true copy of the Federal Estate Tax Return (Federal Form 706), true copies of extensions granted under 39-23.5-107 and 108, if any, and the amount of payment due the State of Colorado must be...
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