Part I. Qualified joint interests. Under section 2040(b)

(2), a joint interest is a qualified joint interest if the decedent and the surviving spouse held the interest as:

• Tenants by the entirety, or

• Joint tenants with right of survivorship if the decedent and the decedent’s spouse are the only joint tenants.

Interests that meet either of the two requirements above should be entered in Part I. Joint interests that do not meet either of the two requirements above should be entered in Part II.

Under column (ii), Description, describe the property as required in the instructions for Schedules A, B, C, and F of Form 706, for the type of property involved. For example, jointly held stocks and bonds should be described using the rules given in the instructions for Schedule B (Form 706). Under column (v), Alternate value, and column (vi), Value at date of death, enter the full value of the property.

Note: You cannot claim the special treatment under section 2040(b) for property held jointly by a decedent and a surviving spouse who is not a U.S. citizen. Report these joint interests on Part II of Schedule E (Form 706), not Part I.

value of the property that is figured by dividing the full value of the property by the number of joint tenants.

If you believe that less than the full value of the entire property is includible in the gross estate for tax purposes, you must establish the right to include the smaller value by attaching proof of the extent, origin, and nature of the decedent’s interest and the interest(s) of the decedent’s co-tenant(s).

Under column (vi), Includible alternate value, and column (vii), Includible value at date of death, enter only the values that you believe are includible in the gross estate.