Planning for Life

Is Anyone Entitled to an Inheritance?

Posted by Harry S. Margolis on November 30, 2016

By Harry S. Margolis

entitled-inheritance-estate-planning-attorney-Wellesley-MA-1

David Karofsky of the Transition Consulting Group, who advises family businesses on succession planning, has written about cases of entitlement he has run across in his business and elsewhere. They include:

The woman who was overheard talking on her cellphone about her father who had more than enough money with his three houses. She and her siblings, she said, had to take control of his finances so that he did not "waste" them before they got passed down to her generation.

The son who was paid a salary of $750,000 a year working in the family business who thought this reflected his value to the company when, in fact, it was a means of passing some of the business's value down to him.

Read More

Topics: Estate Planning, estate taxes

MA Estate Tax on Out-of-State Real Estate

Posted by Harry S. Margolis on November 22, 2016

By Harry S. Margolis

estate-tax-real-estate-planning-Wellesley-MA

If a Massachusetts resident dies owning real estate outside of the state or the country, can Massachusetts tax their estate? If you look at Massachusetts law, the answer is "yes." This is because the Massachusetts estate tax is calculated as the federal estate tax credit that was available under the federal estate tax in place back in 2000. Since the federal taxable estate includes all the decedent's property wherever held, the Massachusetts tax does as well.

Read More

Topics: Probate Estate Administration, estate taxes

Explaining the Inexplicable: Massachusetts Estate Tax and Gifting

Posted by Harry S. Margolis on November 17, 2016

masshealth.jpg

By Harry S. Margolis

As you may know, the threshold for taxing estates in Massachusetts is $1 million, much less than the current $11.58 million threshold for federal estate taxes (in 2020). In addition, unlike the federal estate tax which only taxes the excess over the threshold, if an estate exceeds $1 million the entire amount above $40,000 is taxed. Fortunately, the rate is substantially less, ranging from 0.8% to 16%, whereas the federal rate is 40%.

Read More

Topics: Estate Planning, estate taxes

Avoiding Massachusetts Taxes: So You Want to Move to Florida?

Posted by Elizabeth Stepakoff on November 1, 2016

By Harry S. Margolis

If you've thought of establishing residence in Florida or another low-tax state to save on income and estate taxes, a recent New York state case sheds light on what steps you need to take. In the case of the Matter of Campaniello, the taxpayer, Thomas Campaniello had extremely high income, over $10 million in 2007, the year in question, including profits on the sale of real estate. This no doubt motivated him to seek to avoid New York state and city income taxes and motivated the New York tax authorities to go after him.

Read More

Topics: Estate Planning, estate taxes

Subscribe to New Blog Posts

Recent Posts

Most Popular Posts

Posts by Topic

see all

Want to Book a Consultation?