Blog

The federal gift tax is in place to prevent people from giving gifts in an effort to avoid the estate tax. Shortly after the enactment of the estate tax in 1916, people did give gifts to sidestep the tax, because there was no gift tax. The gift tax was enacted a few years later, and after a brief repeal, it was reenacted in 1932, and it has been in place ever since. Annual Gift Tax Exclusion Every gift that you give is not going to be taxed, because there are some gift tax exclusions. One of … [Read more...] about What Is the Annual Gift Tax Exclusion?

A trustee is an estate administrator. When you create a revocable living trust, you can act as the trustee while you are living. Ultimately, you are creating the trust to facilitate asset transfers after you die. To make this happen, you name a successor trustee in the trust declaration. The successor trustee would administer the estate after your passing. Choosing a Successor Trustee When you think about a successor trustee, you may start to scour your mind for people that you know who may be … [Read more...] about What Is a Living Trust Successor Trustee?

When assets are changing hands, taxes can enter the picture. This is something to keep in mind when you are planning your estate, and it would naturally come to mind if you are going to be receiving an inheritance. In this post, we will look at some of the taxes that can be applicable, and we will look at some that are not. Income Taxes It would be logical to assume that you would be required to claim an inheritance as income when you file your annual tax returns. In fact, an inheritance … [Read more...] about Do I Pay Taxes When Someone Leaves Me an Inheritance in California?