The 2016 federal gift tax exemption is $5.45 million. As long as you have not previously used your exemption, no gift tax will be due. However,...

When I establish an irrevocable trust for my 7 grandchildren who pays the income taxes from reinvested dividends in the trust?

Generally, the trust would pay the tax in this case, meaning very high rates will be imposed. The 39.6% bracket will apply to income over $12,400,...

Question about trust

My sympathies for the recent loss of your parents. In order to advise you, an attorney will first need to review the trust document. I recommend...

How are my capital gains calculated?

You became full owner of the house in 2015 upon your father's death. Because your father retained the right to live the house for his lifetime,...

Is forming an LLC or S -Corporation better if one is married but concerned about the implications of divorce?

LLCs (at least multi-member LLCs in Florida) are more protective against creditors of an owner than corporations. One can have an LLC taxed as an...

Can the same person create an irrevocable trust and serve as the trustee?

Yes, it is possible, but depending on the circumstances, there may be adverse estate or income tax consequences. An estate planning attorney can...

Is there a special form for a gift deed?

Deeds are for transfers of real estate; none is needed for a cash gift. If your parents are U.S. citizens or residents, all that is required is...

We want to create a living will.we are rtwo senior citizens

At a minimum, a complete estate plan for ALL adults includes a Will, Durable Power of Attorney, Health Care Power of Attorney, Advance Directive...

401K receiving account

If the 401(k) is being divided as part of a divorce settlement, a Qualified Domestic Relations Order is needed to avoid triggering immediate tax. ...

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Should I form a limited liability company or limited liability corporation for my single family purchase?

Will this be a rental property? If so, I recommend a Limited Liability Company. If it's simply a second home an entity will generally not be...