Questions About Estate Tax

2016 Gift and Estate Tax Limits

The IRS recently announced the estate and gift tax limits for 2016. In 2016, the exemption amount for individuals increased from $5.43 million to $5.45 million, which means that individuals can leave that much to their heirs with no estate tax or gift tax liability. Married couples can shield double that amount from estate andRead More

IRS Recognizes Same-Sex Marriages For Federal Tax Purposes

A couple of months ago, after the Supreme Court ruled that Section 3 of the Defense of Marriage Act was unconstitutional, I explained that there was still uncertainty about the impact the decision would have on couples who are legally married and move to states that do not recognize their marriage, like Texas. This isRead More

Estate Tax Certainty…For Now

For more than a decade, the estate tax was in a state of flux. Estate Tax Uncertainty In 2001, estate taxes of up to 60 percent were due on estates valued at over $675,000. The tax cuts passed under President George W. Bush gradually increased the exemption and decreased the tax rate, culminating in theRead More

Does Every Estate Have To Pay An Estate Tax?

I often get calls and emails from Texans concerned about the amount of federal estate taxes that will be owed after their death. They worry that their estates won’t be liquid enough to pay those taxes and that their families will have to sell property to satisfy the estate’s tax liability. The vast majority ofRead More

The Future of the Estate Tax

NB: This article was published on July 25, 2012 and contains information that may be outdated. For current information regarding the estate tax, read: Estate Tax Certainty…For Now. On December 17, 2010, President Obama signed the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 into law, which sets the federal estate tax rate atRead More

Do I Have To Pay Taxes On An Inheritance From A Foreign Relative?

In the United States, those who receive gifts are not required to pay any gift taxes. The burden of paying the gift tax falls on the gift-giver. The same is true for those who receive testamentary gifts. The fact that the gift is from a foreign person is irrelevant. Although gifts or inheritances from foreignRead More