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 21005

Estate Taxes, Gift Taxes and Inheritance Taxes in Zip Code 21005


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 MD 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 21005
Armstrong III William J
1804 Briggs Chaney Rd
Silver Spring, MD 20905
(301) 384-9233
Attorneys, Legal Service Plans
Fidelity Law Firm
5010 Sunnyside Ave # 303
Beltsville, MD 20705
(240) 297-9143
General Practice Attorneys, Attorneys
Glenmore Law Firm
5010 Sunnyside Ave Ste 303
Beltsville, MD 20705
(301) 474-7600
General Practice Attorneys, Attorneys, Real Estate Buyer Brokers, Legal Service Plans
Issac H Marks Sr Law Office
11785 Beltsville Dr
Beltsville, MD 20705
(301) 572-7391
General Practice Attorneys, Attorneys
FIDELITY LAW FIRM, LLC
5020 Sunnyside Avenue, Suite 222
Beltsville, MD 20705
(866) 576-6567
Criminal Law Attorneys,  Family Law Attorneys,  Immigration Law Attorneys,  Business Law Attorneys,
Imlay Christopher
2140 Edgeware St
Silver Spring, MD 20905
(301) 236-5629
Attorneys
Total Attorneys - Personal Injury
274306 Astoria Ln
Silver Spring, MD 20905
(301) 679-5404
Attorneys, Legal Service Plans
Total Attorneys - DUI
274100 Astoria Ln
Silver Spring, MD 20905
(301) 679-5395
Attorneys, Legal Service Plans
Nadel Jeffrey
4041 Powder Mill Rd Ste 415
Beltsville, MD 20705
(240) 473-5000
General Practice Attorneys, Attorneys
Clark and Steinhorn PC
11720 Beltsville Dr Ste 1001
Beltsville, MD 20705
(301) 572-5000
Attorneys, Legal Service Plans
Wolk Peter
13 Redgate Ct
Silver Spring, MD 20905
(301) 879-4936
Attorneys
Bergman Melvin G
5000 Sunnyside Ave
Beltsville, MD 20705
(301) 595-3880
Attorneys
Adele L Abrams Law Office
4740 Corridor Pl # D
Beltsville, MD 20705
(301) 595-3520
General Practice Attorneys, Attorneys
Carlotta P Jarvis PC
14616 Silverstone Dr
Silver Spring, MD 20905
(301) 384-3406
General Practice Attorneys, Attorneys
Messenger & Assoc
4743 Sellman Rd
Beltsville, MD 20705
(301) 937-3300
Attorneys, Legal Service Plans, General Practice Attorneys
Albright Associates Inc Complex
5020 Sunnyside Ave Ste 211
Beltsville, MD 20705
(301) 441-2880
Insurance,  Homeowners Insurance,  Auto Insurance,  Surety & Fidelity Bonds,  Renters Insurance,  Li
Finch & Associates, LLC
424 Carona Pl
Silver Spring, MD 20905
(301) 388-2252
Attorneys, Patent, Trademark & Copyright Law Attorneys, Trademark Agents & Consultants
Abrams Adele Attorney
4061 Powder Mill Rd
Beltsville, MD 20705
(301) 273-2125
Attorneys
Baer B
3118 E Monument St
Baltimore, MD 21205
(410) 327-2120
Attorneys, Legal Service Plans
Bosek Ruth
11201 Odell Farms Ct
Beltsville, MD 20705
(301) 595-2078
Attorneys, Legal Service Plans
Lopez Edward L Jr
10762 Rhode Island Ave
Beltsville, MD 20705
(301) 931-1350
Attorneys
Lapp David Atty
14501 Sturtevant Rd
Silver Spring, MD 20905
(301) 384-1221
Attorneys
Hartel Kane Desantis MacDonald & Howie
11720 Beltsville Dr Ste 500
Beltsville, MD 20705
(301) 486-1200
Accident & Property Damage Attorneys, Legal Service Plans, Attorneys
Callihan Herbert A ESQ
5000 Sunnyside Ave
Beltsville, MD 20705
(301) 931-0700
Attorneys
12Law.com   |  NASHVILLE, TN USA   |  CONTACT US