Although the news has been filled with stories about inflation and rising interest rates, there has been a new change which is good news for many Hamilton taxpayers. In early July, the IRS has extended the timeframe by which qualifying estates can make a portability election. This is an important development for estates of married couples, as they’ll have up to five years after the first spouse’s death to combine both lifetime exclusion amounts. The result is a new opportunity to minimize federal estate and gift tax exposure.

Life happens – and fast. For many of us, before we can even register that it happened, we’ve — Sold a home Received an inheritance Had a new grandchild Started a business Moved across the country Got a promotion — or had any number of exciting new experiences. It’s important to track these major life […]

An advance healthcare directive is a document that states a person’s choices about medical treatment and/or names someone who can make decisions about medical treatment for them if they are unable to make the decision themselves. The document is a healthcare power of attorney, living will, or some combination of the two.

The COVID-19 pandemic has turned business operations upside down and forced us to rethink almost all our assumptions about how businesses should be run. Business leaders have felt these changes acutely, but so have employees.

* Update – August 25, 2020: The IRS has temporarily suspended the mailing of three notices to taxpayers who have a balance due on their taxes.  Learn more here. * The effects of the COVID-19 pandemic on individuals and businesses have been difficult to overlook. It started with the implementation of forced business closures and […]

This year has been challenging for New Jersey citizens. When state and local authorities issued stay at home orders and forced businesses to close, the economy ground to a halt. COVID-19 profoundly disturbed our financial systems.

Ensuring the orderly transfer of one’s estate and assets after death is an important responsibility. This often results in the creation of an estate plan that identifies potential tax issues, explores tax-saving strategies, and implements them over time.

Fiduciaries can make certain elections after the year-end that could affect the prior year tax returns for the trusts and estates, as well as those of the beneficiaries. These elections must be made on or before the 65th day after the close of the taxable year, which is Thursday, March 5, 2020, for the year ending December 31, 2019.

Over the years, the estate planning game has changed for the majority of taxpayers.  Due to the increased exemptions, only 1,800 decedents will be required to pay an estate tax in 2019, but the need for planning continues.   

In the United States, transfers of wealth are subject to tax. When transferred during the giver’s lifetime, wealth is subject to gift tax, but when transferred after death, it is subject to estate tax.