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<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">The six-month rule is an estate tax election, not a valuation/distribution election.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">First, check the will or trust for any valuation/distribution language.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">Then check the will or trust for language that permits non-pro-rata distributions. Such language is fairly common.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">Then check the will or trust for language that permits distributions without regard to differences in tax basis. Such language is also fairly
common.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">But back to your question: I am not aware of a hard-and-fast rule, but I would tend to not use date of death, or tax basis which is likely the
same value. Given the fact that six years have gone by, those values will be way out of line. So I would vote for current fair market value.
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">To state the obvious: Don’t distribute anything unless you can get all (both?) of the siblings to agree in writing to the plan of distribution,
being fully informed as to tax basis. If they can agree on values, fine. Otherwise, you need appraisals. Or a carefully worded agreement.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">Phil Jones<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">Philip N. Jones<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">Duffy Kekel LLP<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">900 S.W. Fifth Ave. Suite 2500<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">Portland, OR 97204<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US"><a href="mailto:pjones@duffykekel.com"><span style="color:#0563C1">pjones@duffykekel.com</span></a><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">(503) 226-1371 – office<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">(503) 853-1482 – cell<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Times New Roman",serif;mso-fareast-language:EN-US">(503) 226-3574 - fax<o:p></o:p></span></p>
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<p class="MsoNormal"><b>From:</b> wsbapt-bounces@lists.wsbarppt.com <wsbapt-bounces@lists.wsbarppt.com>
<b>On Behalf Of </b>Bryce Dille<br>
<b>Sent:</b> Tuesday, August 29, 2023 2:13 PM<br>
<b>To:</b> WSBA Probate & Trust Listserv <wsbapt@lists.wsbarppt.com><br>
<b>Subject:</b> Re: [WSBAPT] What valuation date should be used?<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">You can use the 6 months after date of death for valuation tax purposes but if cant agree PR can sell the property and divide proceeds you cant force the heirs to accept property in lieu of cash distribution unless a parcel is conveyed
to all heirs entitled thereto as tenants in common so absent an agreement you can’t distribute one parcel to one heir and cash to another based on an arbitrary valuation<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">Bryce H. Dille<o:p></o:p></p>
<p class="MsoNormal">Dille Law, PLLC<o:p></o:p></p>
<p class="MsoNormal">2010 Caton Way SW Ste. 101<o:p></o:p></p>
<p class="MsoNormal">Olympia, WA 98502<o:p></o:p></p>
<p class="MsoNormal">Office: 360-350-0270<o:p></o:p></p>
<p class="MsoNormal">Cell: 253-579-5561<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif;color:black"><img border="0" width="147" height="39" style="width:1.5312in;height:.4062in" id="yiv4204109992_x005f_x0000_i1027" src="cid:image001.png@01D9DA88.DFA28DC0" alt="R_Alan_Swanson-WH-200"></span><o:p></o:p></p>
<p class="MsoNormal">** Please note that I use the dictation feature of my iPhone and that sometimes everything I say does not get properly translated**<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">This transmission contains confidential attorney-client communications and may not be disclosed to any person but the intended recipient(s). If this matter is transmitted to you in error, please notify the sender immediately. <o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Business Entity Creation and Management, Business, Government and Tax Law, Real Estate and Land Use, Residential, Commercial and Condominium Development Real Estate and Commercial Transactions & Closings, Including Performing Services as
IRS Section 1031 Exchange Facilitator Estate Planning, including Wills and Trusts, and Probate Administration Representation Homeowners/Condominium Association Real Estate Developments Real Property Foreclosures and Forfeitures.<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<div style="border:none;border-top:solid #E1E1E1 1.0pt;padding:3.0pt 0in 0in 0in">
<p class="MsoNormal"><b>From:</b> <a href="mailto:wsbapt-bounces@lists.wsbarppt.com">
wsbapt-bounces@lists.wsbarppt.com</a> <<a href="mailto:wsbapt-bounces@lists.wsbarppt.com">wsbapt-bounces@lists.wsbarppt.com</a>>
<b>On Behalf Of </b>Shannon Jones<br>
<b>Sent:</b> Tuesday, August 29, 2023 1:54 PM<br>
<b>To:</b> WSBA Probate & Trust Listserv <<a href="mailto:wsbapt@lists.wsbarppt.com">wsbapt@lists.wsbarppt.com</a>><br>
<b>Subject:</b> Re: [WSBAPT] What valuation date should be used?<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">I would think date of death as that will be the recipient’s tax basis in the property - Shannon<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<div style="border:none;border-top:solid #E1E1E1 1.0pt;padding:3.0pt 0in 0in 0in">
<p class="MsoNormal"><b>From:</b> <a href="mailto:wsbapt-bounces@lists.wsbarppt.com">
wsbapt-bounces@lists.wsbarppt.com</a> <<a href="mailto:wsbapt-bounces@lists.wsbarppt.com">wsbapt-bounces@lists.wsbarppt.com</a>>
<b>On Behalf Of </b>Julie Martiniello<br>
<b>Sent:</b> Tuesday, August 29, 2023 1:22 PM<br>
<b>To:</b> Trust and Probate Section <<a href="mailto:wsbapt@lists.wsbarppt.com">wsbapt@lists.wsbarppt.com</a>><br>
<b>Subject:</b> [WSBAPT] What valuation date should be used?<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">Hello All,<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal">I have a fact pattern where multiple pieces of real estate are to be distributed between siblings. Father died 6 years ago and nothing was done. Siblings are in agreement to divide assets 50/50, but want to divy up the properties vs own
them together. However there is a disagreement on if the split should be based on date of death values vs current values. Is there a hardline rule on this I am unaware of if the parties cannot agree? <br clear="all">
<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal"><span class="gmailsignatureprefix">-- </span><o:p></o:p></p>
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<span style="font-size:12.0pt;font-family:"Garamond",serif;color:#44546A">Respectfully,</span><span style="font-size:12.0pt;color:#222222"><o:p></o:p></span></p>
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<span style="font-size:12.0pt;font-family:"Arial",sans-serif;color:#222222"> </span><span style="font-size:12.0pt;color:#222222"><o:p></o:p></span></p>
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<span style="font-size:13.5pt;font-family:"Garamond",serif;color:#44546A">Julie Martiniello, Partner</span><span style="font-size:12.0pt;color:#222222"><o:p></o:p></span></p>
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<span style="font-size:13.5pt;font-family:"Garamond",serif;color:#44546A">Dimension Law Group, PLLC</span><span style="font-size:12.0pt;color:#222222"><o:p></o:p></span></p>
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<b><span style="font-size:12.0pt;font-family:"Garamond",serif;color:#44546A">Office:</span></b><span style="font-size:12.0pt;font-family:"Garamond",serif;color:#44546A"> 206-973-3500<b>Fax:</b> 206-577-5090</span><span style="font-size:12.0pt;color:#222222"><o:p></o:p></span></p>
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<b><span style="font-size:12.0pt;font-family:"Garamond",serif;color:#44546A">Email: </span></b><u><span style="font-size:12.0pt;font-family:"Garamond",serif;color:#44546A"><a href="mailto:synthia@dimensionlaw.com" target="_blank"><span style="color:#44546A">julie@dimensionlaw.com</span></a></span></u><span style="font-size:12.0pt;color:#222222"><o:p></o:p></span></p>
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<b><span style="font-size:12.0pt;font-family:"Garamond",serif;color:#44546A"><a href="https://urldefense.proofpoint.com/v2/url?u=http-3A__www.dimensionlaw.com_&d=DwMGaQ&c=euGZstcaTDllvimEN8b7jXrwqOf-v5A_CdpgnVfiiMM&r=ZjJT61sMYHYXW1a7W0qvaz-zO3o_Ea2RRxXvW5Yr3-0&m=n3jpqyVDRTkiXNIWrk7kiEBssfc_wzkNAA6ZwZstmoxCLiLzV1GmVWQYTzIFKl32&s=1nGMNPaPTFFvfjYPaWsO01MonaYkch9jxRdMWQ0yMC0&e=" target="_blank">www.dimensionlaw.com</a></span></b><span style="font-size:12.0pt;color:#222222"><o:p></o:p></span></p>
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<span style="font-size:12.0pt;font-family:"Garamond",serif;color:#44546A">631 Strander Blvd, Bldg A, Suite G, Tukwila, WA 98188</span><span style="font-size:12.0pt;color:#222222"><o:p></o:p></span></p>
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