12Law Arrow 12Law Arrow  Easy Questions  
12Law Arrow 12Law Arrow Instant Legal Documents
 
 
FINANCIAL & MARITAL

Cohabitation Agreement coming soon!
Separation Agreement coming soon!
No-Fault Divorce coming soon!
Bankruptcy coming soon!
 
 

Estate Taxes, Gift Taxes and Inheritance Taxes in Zip Code 78474

Estate Taxes, Gift Taxes and Inheritance Taxes in Zip Code 78474


In this world nothing can be said to be certain, except death and taxes.
 
- Benjamin Franklin


With the passage of the American Taxpayer Relief Act, many federal and state tax rules about Estate Taxes appear to be finally settled. The majority of estates are still exempt from all state and federal taxes.

A substantial amount of property can be bequeathed or given out tax -free because most estates have no obligation to pay federal estate tax or gift tax. This federal gift tax is also known as unified gift and estate tax. You can give or leave your property as long as they do not reach the assessed value of 5.34 million as of the year 2014. Assessment of the property's value is done after a person dies to check if $5.34 million tax free limit is exceeded.

In What Circumstances Does an Estate Have to Pay an Estate Tax?

As a general rule, only estates larger than $ 5.34 million have to pay federal estate taxes.

• The personal estate tax exemption. The first $ 5.34 million is exempted from taxes. There are taxes imposed on properties that exceed exemption limit $5.34 million (as of year 2014). This amount is indexed for inflation, so increases in the future are likely. Most estates in the US do not exceed this exemption amount, so that most people can leave their assets and properties to their heirs tax free. Due to the unified gift and estate tax, prior gifts can reduce remaining personal exemption on the estate.


• Marital deduction. Properties left to surviving spouses are exempted from all estate taxes.

• Non-citizen spouses. The marital deduction does not apply to non-citizen spouses; only the personal estate tax exemption for properties left to the non-citizen spouses can be applied. However, your non-citizen spouse can benefit from a special trust, called a "qualified domestic trust" or QDOT. The property is left to the trust, not the spouse. The spouse is the beneficiary of the trust. There must be no other beneficiaries while the spouse is still alive. The spouse would receive income that the trust property generates and these amounts are not subject to estate tax. The QDOT must be established, and the property must be transferred to it, before the estate tax return of the deceased spouse is due. The trustee of the QDOT must be a U.S. citizen or a U.S. corporation such as a bank or trust company.


• Charitable deduction. Properties left to a tax-exempt charity are also free from estate tax.

• Special Rules for Married Couple. When a spouse dies and the estate was not able to use up entire individual tax exemption that they were entitled to, the remaining spouse can add the unused portion of the personal exemption to their estate, when they pass on. That gives the couple twice the total individual tax exemption.

• State estate taxes. Every state unique estate tax laws. Even if your estate is not large enough to owe any federal estate taxes, you may still be liable for state taxes.

Links that may be of interest:

http://money.howstuffworks.com/personal-finance/personal-income-taxes/inheritance-tax.htm
 
Personalize & Print a Free TX Last Will Create This Document
Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Page 9
Page 10
Related Legal Services near Zip Code 78474
Chern Dan Law Offices
660 N Central Expy Ste 200
Plano, TX 75074
(972) 516-9911
Attorneys, General Practice Attorneys, Corporation & Partnership Law Attorneys, Business Law Attorne
Nwaneri Anthony
6776 Southwest Fwy # 550
Houston, TX 77074
(713) 784-9815
Attorneys, Legal Service Plans, General Practice Attorneys
Robert Demarco
101 East Park Blvd
Waring, TX 78074
(972) 562-9700
Bankruptcy Law Attorneys
Maida Law Firm
8303 Southwest Fwy
Houston, TX 77074
(713) 785-9484
Insurance Attorneys, Attorneys, Criminal Law Attorneys, Personal Injury Law Attorneys, Product Liabi
Barron & Barron LLP
660 N Central Expy Ste 101
Plano, TX 75074
(972) 422-9377
Bankruptcy Law Attorneys,  Attorneys,  Legal Service Plans,  Business Bankruptcy Law Attorneys,  Gen
Law Office Kevin P Gallagher
8323 Southwest Fwy # 710
Houston, TX 77074
(713) 489-9350
General Practice Attorneys, Attorneys, Legal Service Plans
Datascope Litigation Support
7322 Southwest Fwy #1802
Houston, TX 77074
(713) 688-9300
Recording Service-Sound & Video, Paralegals, Video Conferencing Equipment & Services, Transportation
The Draper Law Firm, PC
555 Republic Dr
Plano, TX 75074
(972) 905-9251
Attorneys,  Divorce Attorneys,  Legal Clinics,  Family Law Attorneys,  Corporation & Partnership Law
Haugen Law Firm PC
555 Republic Dr Ste 200
Plano, TX 75074
(972) 905-9246
Civil Litigation & Trial Law Attorneys, Attorneys, General Practice Attorneys, Legal Clinics, Divorc
William J Tinning Law Offices
1013 Bluff Dr
Portland, TX 78374
(361) 643-9200
Insurance Attorneys, Personal Injury Law Attorneys, Attorneys
Nicholas R. Smith
555 Republic Dr Suite 200
Plano, TX 75074
(972) 422-9176
General Practice Attorneys, Attorneys, Legal Service Plans
Megan Rachel Law
1405 Vontress St Apt 1101
Plano, TX 75074
(972) 853-8737
Attorneys, Family Law Attorneys, Divorce Attorneys, Legal Service Plans, General Practice Attorneys
Law Office
850 Central Pkwy E
Plano, TX 75074
(972) 424-8605
Civil Litigation & Trial Law Attorneys,  Attorneys,  General Practice Attorneys,  Business Law Attor
Keller Loretta
1027 E 15th St
Plano, TX 75074
(972) 516-8600
General Practice Attorneys, Attorneys
Michael R. Sices, PC
2000 N. Central Expressway, Suite 209
Plano, TX 75074
(469) 383-8560
Wills, Trusts & Estate Planning Attorneys,  Tax Attorneys,  Business Bankruptcy Law Attorneys,  Con
East Nathan A
101 Cedar Dr # F
Portland, TX 78374
(361) 643-8541
Attorneys
Gay McCall Isaacks Gordon May & Roberts PC
777 E 15th St
Plano, TX 75074
(972) 424-8501
Attorneys,  Family Law Attorneys,  Divorce Attorneys,  Mediation Services,  Divorce Assistance,  Chi
Petersen David P
8303 Southwest Fwy # 810
Houston, TX 77074
(713) 779-8500
Attorneys, Legal Service Plans, Civil Litigation & Trial Law Attorneys, General Practice Attorneys,
Gardner John L & Associates Attys
9301 Southwest Fwy
Houston, TX 77074
(713) 270-8500
General Practice Attorneys, Attorneys, Legal Service Plans
Larry B. Douglas
7322 Southwest Fwy
Houston, TX 77074
(281) 407-8381
Attorneys,  Family Law Attorneys,  Divorce Attorneys,  Legal Service Plans,  Criminal Law Attorneys
Walker Howard D
8313 Southwest Fwy # 240
Houston, TX 77074
(713) 779-8200
Attorneys, Legal Service Plans
Nathan Jeffrey
8323 Southwest Fwy # 708
Houston, TX 77074
(713) 271-8111
General Practice Attorneys, Attorneys, Legal Service Plans
Associates of Attorney Mdtrs
PO Box 741955
Dallas, TX 75374
(972) 669-8101
Mediation Services
Ugbala Ify
6776 Southwest Fwy # 515
Houston, TX 77074
(713) 782-7990
Attorneys, Legal Service Plans
12Law.com   |  NASHVILLE, TN USA   |  CONTACT US