The IRS has released Publications 1457, 1458 and 1459 in which it illustrates the method for using actuarial factors for certain income tax valuations of future interests. Of note is a new mortality Table 2000CM which is effective for gifts made after April 30, 2009.

Downloads:

Pub. 1457 — Remainder, Income, and Annuity Examples — For One Life, Two Lives, and Terms Certain [pdf]

Pub. 1458 —  Actuarial Valuations — Unitrust Remainder
Examples — For One Life, Two Lives, and Terms Certain [pdf]

Pub. 1459 — Examples for Computing Depreciation Adjustment Factors [pdf]

Table 2000CM [xls]

Editor's Note: Table 2000CM is effective for gifts made after April 30, 2009. However, given the fact the table was announced a mere two days prior to its effective date, it is not known if the IRS will allow a transition period (as it did when previous tables were announced) that would enable taxpayers to use either the 2000CM or the 90CM previously in effect. Because the 2000CM table offers slightly longer longevity, use of the 90CM table for gifts of remainder interests measured by lives will result in higher deductions. We will advise upon clarification of this issue.