Estate Trust & Gift
Congress Saves the Estate Tax Exemption
After months of uncertainty, Congress rode to the rescue in the American Taxpayer Relief Act of 2012 and made the estate tax exemption $5,000,000 adjusted for inflation from 2011. This sets the exemption amount at $5,250,000 for estates of decedents … read more
$5,120,000 Lifetime Exemption – Use it or Lose it (Maybe)
There are less than two months to go before 2012 ends. And with that may end the opportunity to give away $5,120,000 in assets tax free. Next year, the top estate and gift tax rate will be 55% and the … read more
Draft Gift Tax Return for 2012 has New Schedule for Portability Exclusion
The IRS has released draft Form 709, United States Gift (and Generation-Skipping Transfer) Tax Return, and its instructions for gifts made during 2012. The new draft form includes the portability election and other changes made by the Tax Relief Act … read more
Annual Gift Tax Exclusion Rises in 2013 and Other Coming Estate Tax Changes
As the end of 2012 approaches, uncertainty regarding the 2013 estate and gift tax law has caused confusion for our clients. One thing is certain however, the gift tax annual exclusion will be $14,000 for 2013. This is a $1,000 … read more
Inherited IRA’s…No 60 Day Rollover Window!
Individual Retirement Accounts (IRA’s) have many rules and the penalties for failing to follow the rules can be painful. The taxpayer Elizabeth Beech found this out the hard way. Elizabeth Beech inherited an IRA from her deceased mother. In 2008, … read more
Is Your Gift Taxable? – Eight Guidelines
If you gave money or property to someone as a gift, you may owe federal gift tax. Many gifts are not subject to the gift tax, but there are exceptions. Here are eight tips provided by the IRS that you … read more
What Are the Pros/Cons of Selling Gifted Property?
Consider the following questions: • Does the property provide a good yield? • How does this property fit into my investment portfolio? • What are the short and long term market outlooks for this property? • Do you need the money? • Has the property … read more
Fiduciary or Beneficiary – An Identity Crisis
I’d like to think I don’t eavesdrop drop on other peoples conversations but when the diner next to me exclaimed “I can’t be the fiduciary of that trust-I’m a beneficiary”, my interest was immediately peaked. As much as I wanted … read more
Gifts to Charity Reported on Schedule A
Gifting seems pretty simple. Let’s pretend my 4 year old son gives his cupcake to my 2 year old son who says “Tank Uuu.” We would say how cute, what a nice gift. Yes, I realize this would never actually … read more
Small Gifts are Gifts Too!
Oh spring time, a time for graduations, for weddings and all of the expenses that go along with them. Did you know that the gifts you give to friends and loved ones to celebrate these occasions, along with all other … read more