General Instructions

Purpose of Form

Form 706-NA is used to compute estate and generation-skipping transfer (GST) tax liability for nonresident alien decedents. The estate tax is imposed on the transfer of the decedent's taxable estate rather than on the receipt of any part of it.

For information about transfer certificates for U.S. assets, write to the following address. 

Internal Revenue Service 
Cincinnati, OH 45999 
Stop 824G

Note.   In order to complete this return, you must obtain Form 706, United States Estate (and Generation-Skipping Transfer) Tax Return, and its instructions. You must attach schedules from Form 706 if you intend to claim a marital deduction, a charitable deduction, a qualified conservation easement exclusion, or a credit for tax on prior transfers, or if you answer “Yes” to question 5, 7, 8, 9a, 9b, or 11 in Part III, General Information. You will need the instructions to Form 706 to explain how to value stocks and bonds. Make sure that you use the version of Form 706 that corresponds to the date of the decedent's death.


The following definitions apply in these instructions.

United States.   The United States means the 50 states and the District of Columbia.

Nonresident alien decedent.   A nonresident alien decedent is a decedent who is neither domiciled in nor a citizen of the United States at the time of death. For purposes of this form, a citizen of a U.S. possession is not a U.S. citizen.

Long-term United States resident.   A long-term U.S. resident is an alien who has been a lawful permanent resident of the U.S. (green card holder) in at least 8 of the last 15 tax years ending with the tax year in which U.S. residency is terminated.

Executor.   An executor is the personal representative, executor, executrix, administrator, or administratrix of the deceased person's estate. If no executor is appointed, qualified, and acting in the United States, every person in actual or constructive possession of any of the decedent's property must file a return. If more than one person must file, it is preferable that they join in filing one complete return. Otherwise, each must file as complete a return as possible, including a full description of the property and each person's name who holds an interest in it.

  Executors must provide documentation proving their status. Documentation will vary but may include a certified copy of the will or a court order designating the executor(s). A statement by the executor(s) attesting to their status is insufficient.

U.S. expatriate.   Special estate tax rules may apply to decedents who expatriated from the United States prior to death. For these purposes, both U.S. citizens who relinquished their citizenship and long-term residents, as defined in section 877(e), who have surrendered their green card or taken a position under a tax treaty that they are solely a resident of the other country, are treated as expatriates.

  For decedents who expatriated prior to June 17, 2008, and were still subject to the 10-year alternative tax regime of section 877(b) on the date of death, the rules in section 2107 apply to determine the value of decedent’s U.S. taxable estate. For decedents who expatriated on or after June 17, 2008, and were “covered expatriates” on the date of death, as defined in section 877A(g)(1), the rules in section 2107 do not apply, but the rules of section 2801 may apply. So, decedents who expatriated on or after June 17, 2008 are generally subject to U.S. estate tax as all other nonresident alien decedents, and the references to “U.S. expatriate” in these instructions refer only to decedents who expatriated prior to June 17, 2008. See the instructions for Question 6a and Question 6b, later. Also, see effective dates later for more information.

Expatriation after June 3, 2004, but before June 17, 2008.

A decedent would have been subject to the 10-year alternative tax regime of section 877(b) if the individual met one of three tests set out under section 877(a) relating to

  1. average annual net income tax liability,

  2. net worth, and

  3. certification of tax compliance.

See sections 877 and 2701, and Form 8854, Initial and Annual Expatriation Statement, as it existed in the relevant tax year for additional information.

Expatriation on or after February 6, 1995, through June 3, 2004.

A decedent would have been presumed to be subject to the 10-year alternative tax regime of section 877(b) if the individual's average annual net income tax liability or net worth exceeded certain limits, absent a private letter ruling reversing the presumption. See sections 877 and 2701 and Form 8854 as they existed in the relevant tax year for additional information.

Who Must File

The executor must file Form 706-NA if the date of death value of the gross estate located in the United States exceeds the filing limit of $60,000. The total value of the gross estate may be reduced by the sum of:

  • The gift tax specific exemption (section 2521) allowed for gifts made between September 9, 1976, and December 31, 1976, inclusive, and

  • The amount of adjusted taxable gifts made after December 31, 1976.

When To File

File Form 706-NA within 9 months after the date of death unless an extension of time to file was granted.

If you are unable to file Form 706-NA by the due date, use Form 4768, Application for Extension of Time To File a Return and/or Pay U.S. Estate (and Generation-Skipping Transfer) Taxes, to apply for an automatic 6-month extension of time to file. Check the “Form 706-NA” box in Part II of Form 4768.

Where To File

File Form 706-NA at the following address.

Department of the Treasury  
Internal Revenue Service Center 
Cincinnati, OH 45999


The law provides for penalties for both late filing of returns and late payment of tax unless there is reasonable cause for the delay. There are also penalties for willful attempts to evade or defeat payment of tax.

The law also provides for penalties for valuation understatements that cause an underpayment of tax. See sections 6662(g) and (h) for more details.

Reasonable cause determinations.   If you receive a notice about penalties after you file Form 706-NA, send an explanation and we will determine if you meet reasonable cause criteria. Do not attach an explanation when you file Form 706-NA. Explanations attached to the return at the time of filing will not be considered.

Return preparer.   The Small Business and Work Opportunity Tax Act of 2007 (2007 Act) extended the application of return preparer penalties to preparers of estate tax returns. Under section 6694, as amended by the 2007 Act, estate tax return preparers who prepare any return or claim for refund that reflects an understatement of tax liability due to willful or reckless conduct are subject to a penalty of $5,000 or 50% of the income derived (or income to be derived), whichever is greater, for the preparation of each such return. See section T.D. 9436, 2009-3 I.R.B. 268, available at and Ann. 2009-15, 2009-11 I.R.B. 687 available at for more information.

Death Tax Treaties

Death tax treaties are in effect with the following countries.

Australia Ireland
Austria Italy
Canada* Japan
Denmark Netherlands
Finland Norway
France South Africa
Germany Switzerland
Greece United Kingdom
*Article XXIX B of the United States—Canada Income Tax Treaty

If you are reporting any items on this return based on the provisions of a death tax treaty or protocol, attach a statement to this return indicating that the return position is treaty-based. See Regulations section 301.6114-1 for details.

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