Thinkbusiness.ie’s Post

Looking to reduce estate taxes and protect your family's wealth? A Spousal Lifetime Access Trust (SLAT) might be the key. 🔑 In our latest blog post, we dive into how SLATs work and why they can be an effective tool in your estate tax planning strategy. #EstatePlanning #SLAT #TaxPlanning #WealthManagement #FinancialPlanning #assetprotection #legacy #legacyplanning #elderlaw #trusts #trustplanning #irrevocabletrusts

From Exploding Estate Tax Myths to Wills Vs Trusts - this month's newsletter has it all. Check it out! https://lnkd.in/ddak9iBC

A rush to transfer assets into spousal lifetime access trusts in order to avoid estate taxes in the future may bring its own risks apart from the high payments to Uncle Sam. #estateplanning #trusts #taxes #taxplanning #finance

What Are Valuation Discounts in the Context of Family Limited Partnerships and Estate Tax Planning? A Family Limited Partnership (FLP) is an estate tax planning strategy in which an FLP is established where the parents may retain a general partnership interest and gift limited partnership interests to their children. The FLP may retain title to certain assets including investments and real estate interests, as an example. However, because a limited partnership interest is restricted and lacks marketability (i.e., the limited partner cannot compel distribution and can vote on limited matters only), the gifting of this interest can receive a valuation discount. The use of FLPs and valuation discounts of limited partnership interests can be a significant estate tax planning strategy. However, the law of FLPs and valuation discounts is complex and subject to ever changing tax laws and regulations. If you have questions, you should speak with a professional about your interests and concerns.

🎭Wife Earns, Husband Pays: The Ultimate Tax Love Story 1994. Her Income! His Tax! What happens when you buy assets in your spouse's name, thinking it’s a smart tax hack? A husband, with all good intentions, purchased shares in his wife’s name using his hard-earned income. Dividends rolled in, and the assumption was clear: it’s her name on the shares, so the tax should be her problem, right? Wrong! The court dropped the hammer. 🛑 Since he paid for the shares, under Section 64 of the Income Tax Act, the income was clubbed with his earnings. The actual ownership lies with the person who funded the asset. The law ensures no sneaky income redistribution within the family for tax benefits. 💡 Key Takeaway When buying assets in your spouse's name, remember: it’s not just love that’s shared, but also the tax burden! 💬 Have you ever encountered this tax surprise? Let’s discuss your thoughts and strategies below! Case Law - Commissioner of Income Tax vs. M.K. Kirtikar (Bombay High Court, 1994)

Part 5 - Inheritance Tax and Company Structures #expat #buytolet #investment #ukproperty *Downey & Co do not provide tax, legal or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors before engaging in any transaction.

5 Trust Strategies for High-Net-Worth Clients Facing Imminent Tax Law Changes At EsqWealth, we know the thought of changing tax laws can make even the savviest investors feel like they’re playing financial dodgeball.

Navigating tax law complexities can be difficult, especially when faced with an unexpected tax bill due to the errors of a spouse or ex-spouse. When a married couple files a joint tax return, each spouse is liable for the full tax amount on the couple’s combined income. So, the IRS can come after either spouse to collect the entire tax, penalties and interest. In some cases, spouses are eligible for “innocent spouse relief.” Generally, these spouses were unaware of a tax understatement that was attributable to the other spouse. If you’re interested in trying to obtain relief, paperwork must be filed, and deadlines must be met. The process is challenging. We can assist you with the details.

Minimize estate taxes and protect your hard-earned assets 🛡️💰 From understanding exemptions, exploring gifting options, or setting up trusts – our team is dedicated to safeguarding your legacy. Learn more: https://bit.ly/47SZpYG #LetsTalkEstatePlanning #EstatePlanning #EstatePlanningTips #ProtectYourLegacy

As you may know, step-up in basis refers to the adjustment of an asset's value for tax purposes when it is inherited. This adjustment can help reduce the amount of capital gains tax owed on the asset. The IRS announced new rules that will affect assets held in certain irrevocable trusts. It is important to understand these rules and how they may impact your estate planning. If you have questions or need help navigating these changes, please don't hesitate to reach out to us. #estateplanning #taxplanning #estateadministration #irrevocabletrust #trustsandestatesattorney