Estate of Ackerley v. Department of Revenue

¶1 The Estate and Transfer Tax Act, chapter 83.100 RCW, makes clear that calculating a Washington taxable estate begins with the federal taxable estate and that the Washington definition of “transfer” is the same as the federal definition. Under federal estate tax law, the gift tax paid is included in the taxable estate under the “gross-up rule” and, as such, is transferred upon death as part of the entire estate. Following the legislature’s clear mandate, we must also find that the gift tax paid is part of the Washington taxable estate and transferred upon death as part of the entire estate.…