On property passed to heirs following death, estate taxes are sometimes called inheritance and death taxes. In 2001, the economic growth and tax relief reconciliation act was passed.
The tax rate for estates worth over $1 million will be 50% in 2011. This is a number that many people can easily reach. For more information about tax and finance lawyers, you can explore this link.
Image Source: Google
Lawmakers are currently discussing whether the tax should be repealed. Only $1 million can be passed tax-free without Congress, while $3.5 million could be passed tax-free by descendants in 2009.
The IRS will pay estate taxes nine months after the death date. There are many effective ways to reduce estate taxes, regardless of what the final estate tax law is.
Here is a list of some of the most common trusts:
Revocable living trusts and family trusts
Trust for special needs
A skilled trusts lawyer will be able to assist you with all the trust options available, whether you have an inheritance or special needs case involving a child or a relative who is incapacitated or minor.
An irrevocable family trust cannot be changed or terminated. A properly created trust can increase the amount of your estate that flows to your loved ones. Your lawyer can help you understand the complex nature of trust law.
Get in touch with the best finance lawyers, who handle complex trust matters in estate planning, estate, and probate matters.