IRS Plans To Further Restrict Family Business Valuation Discounts – Tax – United States

  IRS regulations anticipated for release as early as this September may further restrict valuation discounts. The exact scope of the regulations is unknown, but the regulations will likely make it more difficult for taxpayers to discount the value of family business interests. Valuation discounts in family business interests are often utilized in connection with “estate freezes” that deflect future asset growth from the estate of a senior family member to a younger generation member. Families place restrictions—such as restrictions … Continued

Tom Clancy’s Widow Wins Legal Battle Over Taxes on $86 Million Estate – WSJ

  Tom Clancy’s widow has scored a legal victory in a long-running dispute over who should foot the hefty taxes on the best-selling author’s $86 million estate, which largely comes from a minority share of the Baltimore Orioles and includes a rare World War II tank. Tom Clancy’s Widow Wins Legal Battle Over Taxes on $86 Million Estate – WSJ

The Weirdest Law in Every State in America

  Although it’s fun to think that some congressman pushed a law banning donkeys from bathtubs, most “weird laws” you find online are complete fantasy. But there is certainly an odd collection of US legislation still on the books, so we decided to wade through the fake ones in order to break down each state’s weirdest law. While some of them showcase what ‘Murica is all about (free roadkill!), others are borderline fascist (what do you mean we can’t play … Continued

Step up in Basis. new rules

The laws addressing the basis of property acquired from a decedent were revised on July 31, 2015. Generally, property acquired from a decedent receives a basis equal to its fair market value at the decedent’s date of death, or if elected, the alternate valuation date. This basis adjustment is advantageous to beneficiaries receiving appreciated property, because the pre-death appreciation is not subject to capital gains tax. However, under new Section 1014(f) of the Internal Revenue Code, this basis adjustment cannot … Continued

Why Your Married Clients Should Probably File Federal Estate Tax Returns

Since none of us are getting out of this alive, you should absolutely make sure that when your spouse passes, that your lawyer files an estate tax return and elects portability. Now, at this point, an advisor might ask, “Who cares about passing on the exemption if the client won’t have to pay the estate tax anyway?” Well, what happens if that surviving spouse comes into a great deal of money? Maybe her advisor (aka you) did a great job … Continued