MANAGEMENT

Detailed explanation-1: -If the estate is worth less than $1, 000, 000, you don’t need to file a return or pay an estate tax. Massachusetts estate tax returns are required if the gross estate, plus adjusted taxable gifts, computed using the Internal Revenue Code in effect on December 31, 2000, exceeds $1, 000, 000.

Detailed explanation-2: -If a federal Form 706 is required, then a Maine estate tax return (Form 706ME) is also required if (1) the decedent was a Maine resident at the time of death or (2) the decedent was a nonresident and owned real and/or tangible personal property located in Maine at the time of death.

Detailed explanation-3: -Net estate refers to what’s left of the estate value once all allowable deductions have been applied. Some deductions you can apply to your tax are as follow: Medical expenses-incurred for the decedent prior to death. Funeral expenses-whether paid or unpaid, within one year of the decedent’s death.

Detailed explanation-4: -A deduction from the gross estate is allowed for funeral expenses, administration expenses, claims against the estate, certain taxes, and unpaid mortgages or other indebtedness allowable under the local law governing the administration of the decedent’s estate ( Code Sec.