Posted by Zach Dana on March 4, 2016
With the upcoming presidential election comes change. Now is the time to not only pick a candidate, but also pick an estate plan that will suit your needs. As our country picks a new leader, there may be future changes put into place with estate laws. These laws reflect federal and state taxes on individual estates. Dana Law Group always keeps informed and up to date on what is new in estate and gift taxes. For large estates, an estate tax may be placed on all property that is transferred after your death.
If you are unprepared and without a plan for your estate, you may leave extra unnecessary taxes to be paid by your heirs or your affairs may be handled by the court system.
Taxes are determined by accounting for your assets and placing a “fair market value” on them. This fair market value is not based upon what you paid for the items, but what they are worth. The IRS lists taxable property to include: cash and securities, real estate, annuities, businesses, trusts, insurance and other assets. After adding up your assets, that number will now be your Gross Estate. Certain deductions are allowed which gives you your “Taxable Estate”. In 2016, if your Scottsdale estate falls below $5,450,000 then you are not required to file an estate tax return. If your combined gross assets are above that number then you really need a plan to limit the amount of taxes paid on your estate.
No matter how big or small your Scottsdale estate is, you need a plan to make sure your wishes are addressed. All estate planning documents must be reviewed and ready for those wishes to be executed. At Dana Law Group, we pride ourselves in the expertise needed to focus on estate planning to avoid unnecessary probate and estate and gift taxes.
If you have an estate plan, it is a great idea to have your plan reviewed on every election year. Call us today for a new estate plan or a review of your existing one. We will assist you in creating a will, living trust, power of attorney, medical power of attorney, physicians directive, and any other pertinent documents relating to your estate.