Minimizing Or Avoiding Estate And Gift Taxes
Recent years have brought significant and complex changes in the law regarding federal estate taxes. The same is true of gift taxes and generation-skipping taxes.
At the law firm of J. Jeffrey Press, we can help you and your family plan for and minimize federal estate taxes with the use of trusts and other estate planning strategies.
Call 973-323-2654 to discuss your specific situation in a confidential consultation. We serve clients in Parsippany, Clifton and throughout northern New Jersey.
New Jersey Inheritance And Estate Tax
In addition to federal estate tax, New Jersey imposes both inheritance and estate taxes. The inheritance tax is imposed on the amount received by the individual recipient. Bequests and other distributions to spouses, parents, children and stepchildren are exempt from the inheritance tax. Bequests and other distributions to other recipients are taxed at varying rates that are determined by the recipient’s relationship to the deceased.
The New Jersey estate tax is on all net estates valued at more than $675,000. The rate of the tax varies depending on the value of the estate. Almost every estate that includes a retirement account or real estate is affected by the New Jersey estate tax.
At the law office of J. Jeffrey Press, P.A., we provide estate tax planning to minimize or eliminate both federal and New Jersey estate taxes and inheritance taxes through devices such as credit shelter trusts, qualified terminable interest property (QTIP) trusts, qualified personal residence trusts (QPRT), and other forms of trusts and outright gifts. We serve clients throughout northern and central New Jersey, including Morris, Essex, Passaic and Somerset counties.
Estate Planning Techniques To Minimize Or Eliminate Estate Taxes
Plans to minimize estate taxes usually involve removing assets from the estate. There are several ways you can do this:
- Moving life insurance benefits to an irrevocable life insurance trust
- Moving a house to a qualified personal residence trust
- Placing assets in an irrevocable asset protection trust
It does not make sense to let tax consequences drive your entire estate plan. You may not be comfortable with giving up control of assets solely for the purpose of eliminating taxes. J. Jeffrey Press can provide you with a range of options to meet your goals for control of your assets and minimizing estate taxes.
Gift planning: You can give anyone up to $14,000 a year without filing a gift tax return. If you wish to give more, J. Jeffrey Press can advise you in techniques such as split gifting.
For More Information About Estate And Gift Tax Planning, Please Contact Our Office In Parsippany
To schedule a consultation with an attorney at the law offices of J. Jeffrey Press, P.A., please call our office or fill out our contact form.