An Experienced Tristate Tax Attorney Alleviates After-Death Tax Burdens
Taxes on the transfer of wealth can be imposed by states or the federal government. These taxes come in three forms: inheritance tax, estate tax, and gift tax (sometimes collectively referred to as “death taxes”). How and if these taxes will affect your estate and beneficiaries depends on the state(s) involved and the amount of wealth to be conveyed. One thing for certain is that this area of tax law changes frequently.
Keeping your estate plan up to date with current tax laws is wise if you want your heirs—and not the government—to benefit from your hard-earned wealth. Serving clients in West Virginia (WV), Kentucky (KY), and Ohio (OH), a Jenkins Fenstermaker estate planning attorney will partner with you to achieve your estate and tax planning goals while reducing tax liabilities.
Currently, the federal estate tax only impacts estates valued in excess of $11 million. Any estate—or portion of an estate—below this threshold is exempt from taxation. This exemption fluctuates from year to year as it is indexed to inflation. Over the last two decades, the maximum tax rate has varied between 35 and 55 percent. As a result, for those with substantial assets, estate and tax planning in WV, OH, and KY is critical to avoid estate tax liabilities that significantly decrease assets left to heirs.