Form 706 (Schedule R) — Generation-Skipping Transfer Tax

Official source: IRS Forms, Instructions & Publications (https://www.irs.gov/pub/irs-pdf/f706sr.pdf), retrieved 2026-10-03. U.S. Government work (17 U.S.C. § 105).

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SCHEDULE R (Form 706) (August 2025)

Department of the Treasury Internal Revenue Service

Attach to Form 706. Go to www.irs.gov/Form706 for instructions and the latest information.

OMB No. 1545-0015

Decedent’s name as it appears on Form 706 Decedent’s social security number

The generation-skipping transfer (GST) tax is imposed on taxable transfers of interests in property located outside the United States as well as property located inside the United States. See instructions.

Note: To avoid application of the deemed allocation rules, Form 706 and Schedule R (Form 706) should be filed to allocate the GST exemption to trusts that may later have taxable terminations or distributions under section 2612 even if the form is not required to be filed to report estate or GST tax.

Part I GST Exemption Reconciliation (Section 2631) and Special QTIP Election (Section 2652(a)(3))

Note: To make a section 2652(a)(3) (special QTIP) election, list qualifying property in Part I, line 9, below. See instructions for details.

For Privacy Act and Paperwork Reduction Act Notice, see the Instructions for Form 706. Cat. No. 94772F Schedule R (Form 706) (8-2025) Created 3/20/25

Schedule R (Form 706) (8-2025) Page 2 Part II Direct Skips Where the Property Interests Transferred Bear the GST Tax on the Direct Skips

1 Enter the direct skips where property interests transferred are to bear the GST tax on the transfers.

(i) Name of skip person

(ii) Description of property interest transferred

(iii) Estate tax value

2 Total estate tax values of all property interests. Add all amounts in column (iii) . . . . . . . . 2 3 Estate taxes, state death taxes, and other charges borne by the property interests listed above . . 3 4 GST taxes borne by the property interests listed above but imposed on direct skips other than those shown on this Part II. See instructions . . . . . . . . . . . . . . . . . . . . . 4 5 Total fixed taxes and other charges. Add lines 3 and 4 . . . . . . . . . . . . . . . . 5 6 Total tentative maximum direct skips. Subtract line 5 from line 2 . . . . . . . . . . . . 6 7 GST exemption allocated. See instructions . . . . . . . . . . . . . . . . . . . 7 8 Subtract line 7 from line 6 . . . . . . . . . . . . . . . . . . . . . . . . . 8 9 GST tax due. Divide line 8 by 3.5 . . . . . . . . . . . . . . . . . . . . . . . 9 10 Enter the amount from Part III, line 9 . . . . . . . . . . . . . . . . . . . . . 10 11 Total GST taxes payable by the estate. Add lines 9 and 10. Enter here and on Form 706, Part II, line 19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

Schedule R (Form 706) (8-2025)

Schedule R (Form 706) (8-2025) Page 3 Part III Direct Skips Where the Property Interests Transferred Do Not Bear the GST Tax on the Direct Skips

1 Enter the direct skips where property interests transferred do not bear the GST tax on the transfers.

(i) Name of skip person

(ii) Description of property interest transferred

(iii) Estate tax value

2 Total estate tax values of all property interests. Add all amounts in column (iii) . . . . . . . . 2 3 Estate taxes, state death taxes, and other charges borne by the property interests listed above . . 3 4 GST taxes borne by the property interests listed above but imposed on direct skips other than those shown on this Part III. See instructions . . . . . . . . . . . . . . . . . . . . . 4 5 Total fixed taxes and other charges. Add lines 3 and 4 . . . . . . . . . . . . . . . . 5 6 Total tentative maximum direct skips. Subtract line 5 from line 2 . . . . . . . . . . . . 6 7 GST exemption allocated. See instructions . . . . . . . . . . . . . . . . . . . 7 8 Subtract line 7 from line 6 . . . . . . . . . . . . . . . . . . . . . . . . . 8 9 GST tax due. Multiply line 8 by 40% (0.40). Enter here and on Part II, line 10 . . . . . . . . 9

Schedule R (Form 706) (8-2025)