The IRS has released new regulations that have extended the due date for filing Form 8971 to March 31, 2016.
Executors and administrators of estates that are required to file a federal Form 706 Estate Tax Return are now also required to file Form 8971 and report the basis of the assets included in the estate to the beneficiaries of the estate.
As discussed in my post on February 7, 2016, the IRS is trying to consistently tax assets for estate tax and capital gains tax purposes. Requiring executors to supply this information to beneficiaries and the government is their attempt to better track this information.
Additionally, there was an open question as to whether all estates had to file the Form 8971 or just those that were over the federal estate tax exemption threshold. According to this publication from Bessemer Trust, the IRS has issued regulations that state that if you are filing a form 706 merely to elect portability. You do not also need to file form 8971.
Thanks again to Abby Moller for bringing this to my attention