Senator Sanders Introduces “99.5% Act” Which Would Increase Estate Taxes and Overhaul Estate Planning
Senator Bernie Sanders has introduced in the Senate what he calls the “99.5% Act” (the “Act”). For individuals dying and gifts made after December 31, 2021, the Act would substantially increase the federal estate tax by reducing the federal estate tax exemption from $11,700,000 to… Read More
IRS Responds to Coronavirus (COVID-19) by Moving Tax Day to July 15
Superseding earlier guidance to taxpayers, the Internal Revenue Service (IRS) announced in a Notice that anyone facing income tax filing and payment deadlines of April 15 – popularly known as “Tax Day” – may now defer filing their income tax returns and paying their income… Read More
Estate Planning Considerations During the Coronavirus (COVID-19) Pandemic
The coronavirus pandemic has directed our attention to a variety of issues such as hand-washing, social distancing, doorknob avoidance, working or attending class remotely, childcare and care for the elderly … but not so much to estate planning. That is, no doubt, a good thing.… Read More
Estate and Gift Tax Consequences of the Tax Cuts and Jobs Act
On December 22, 2017 President Trump signed the Tax Cuts and Jobs Act which became effective January 1, 2018, although many of its provisions will sunset on December 31, 2025. Most of the changes under the Act affect the federal corporate and personal income tax,… Read More
Seeking to Repeal the Federal Estate Tax – The Sequel
In 2001 President George W. Bush tried to repeal the federal estate tax. He was successful — but only for one year, 2010. Then during the administration of President Obama the federal estate tax returned. Under the new estate tax law the rate of tax… Read More
Federal Estate Tax Inflation-Adjustments for 2018
Throughout the federal tax code there are figures which are inflation-adjusted – meaning they go up when there is inflation and they go up more when there is more inflation. The adjusted figures for the coming year are generally announced in October of the current… Read More
IRS Withdraws Regulations Which Could Have Eliminated Valuation Discounts
The IRS has never been a fan of valuation discounts. These discounts allow the owner of a closely-held business to transfer an interest in the business to family members and others and, for gift and estate tax purposes, take a discount which reduces the value… Read More
Checklist of Tax and Non-Tax Considerations for Someone on His/Her Deathbed
I am often asked by family members of a loved one who is on his/her death bed what steps should be taken from an estate planning, tax and non-tax perspective that will make the individual more comfortable, save taxes, preserve assets and make settling the… Read More
Making Living Wills More Clear with a QR Code Link to a Video Personal Statement
They go by many names, living wills, advance directives for healthcare, healthcare powers of attorney and healthcare proxies. I usually call them advance directives for healthcare (and will use that term in this article) because I think that covers all the issues they address. There… Read More
The Estate Tax Repeal Redux
A bit of tax history is in order. In 2001 President George W. Bush signed the Economic Growth and Tax Relief Reconciliation Act of 2001 which eliminated what he had dubbed during his campaign the “death tax” … except it wasn’t a real repeal. Under… Read More