Form 4970 FT Department of the Treasury Internal

Form 4970 FT Department of the Treasury Internal Revenue Service Tax on Accumulation Distribution of Foreign Trusts . ► Attach to beneficiary’s tax return A Name(s) as shown on return ► See instructions on back. OMB No. 1545 -0192 2007 Attachment Sequence No. 73 B Social security number D Employer identification number C Name and address of trust G Enter number of trusts from which you received E Type of trust (see instructions F Beneficiary’s date of birth accumulation distributions in this tax year………. ► Foreign Domestic H Form 3520 Filed by Beneficiary J Enter Applicable Number of Years I “Default Method” Elected on Form 3520, Part III of Foreign Trust Existence: _______ Yes ___ No___ Schedule A, Page 5: Yes___ No___ □ □ Part I Average Income and Determination of Computation Years 1 Amount of current distribution that is considered distributed in earlier tax years [from Schedule J (Form 1041 NR), Line 37, Column (a)]…………………………………… ________ 1 2 Distributions of income accumulated before you were born or reached age 21 (See Instructions)……………… 2 XXXX 3 3 Enter amount from Line 1………………………………………………. . . ________ 4 Taxes imposed on the trust on amounts from Line 3 [from Schedule J (Form 1041 NR), Line 37, Column (b)]……………. . ________ 4 5 Total (Add Lines 3 and 4)…………………………………………………… ________ 5 6 Tax exempt interest included on Line 5 [from Schedule J (Form 1041 NR), Line 37, Column (c)]…………. ……. ________ 6 7 Taxable part of Line 5 (Subtract Line 6 from Line 5)…………………………………… ________ 7 8 Number of trust’s earlier tax years in which amounts on Line 7 are considered distributed…………………. . . ________ 8 9 Average annual amount considered distributed (Divide Line 3 by Line 8)………………. . . . 9 10 Multiply Line 9 by. 25…………………………………………… 10 11 Number of earlier tax years to be taken into account (See Instructions)…………………………… 11 ________ 12 Average amount for recomputing tax (Divide Line 7 by Line 11). Enter here and in each Column on Line 15……………… 12 (c) 2004 (d) 2003 (e) 2002 13 Enter your taxable income before this (a) 2006 (b) 2005 distribution for the five immediately preceding tax years………………. … Tax Attributable to the Accumulation Distribution Part II (a) (b) (c) 14 Enter the amounts from Line 13, eliminating the highest and lowest taxable income years…………………………. 14 15 15 14 Enter amount from Line 12 in each column………………. . 16 15 17 16 18 17 19 18 20 19 2120 2221 2322 2423 2524 16 Recomputed taxable income (Add Lines 14 and 15)…………. . 17 Income tax on amounts on Line 16…………………. . 18 Income tax before credits on Line 14 income amount. …………………. 19 Additional tax before credits (Subtract Line 18 form Line 17)…………… 20 Tax credit adjustment…………………………. 21 Subtract Line 20 from Line 19……………………… 22 Alternative minimum tax adjustments………………… 23 Combine Lines 21 and 22………………………… 24 Add Columns (a), (b), and (c ), Line 23………………………………………… 25 Divide Line 24 amount by 3………………………………………………. 2726 26 Multiply the amount on Line 25 by the number of years on Line 11………………………… 27 Enter the amount from Line 4……………………………………………. . . 2827 28 Partial tax attributable to the accumulation distribution (Subtract Line 27 from 26)(If zero or less, enter 0. )…………. 2625 For Paperwork Reduction Active Notice, see back of form. JSA 7 A 6400 2. 000 Form 4970 FT (2007) Page 1 of 2

Form Part III 4970 FT Tax on Accumulation Distribution of Foreign Trusts 2007 Calculation of Interest Charge (See Instructions) 29 ___________ 29 Enter accumulation distribution from Line 1, Part, 1, Page 1, Form 4970 FT……………………… 30 30 Enter tax on total accumulation distribution from Line 28, Part II, Page 1, Form 4970 FT………………… 31 Enter applicable number of years of the foreign trust’s existence, as applicable. (See Instructions)…………………. . 31 32 Combined interest rate imposed on the total accumulation distribution. (See Instructions)……………… 32 33 33 Interest Charge. Multiply the amount of Line 30 by the combined interest rate on Line 32……………… ___________ 34 Tax attributable to accumulation distributions. Add lines 30 and 33. Enter here and as “additional tax” on your income tax return, Form 1040 or 1040 NR (from “Form 4970 FT”). …………………………. . 34 Page 2 of 2