On December 22, 2017, President Trump signed into law what is commonly known as the Tax Cuts and Jobs Act of 2017 (2017 Act). The 2017 Act increased the estate, gift, and generation-skipping (GST) transfer tax exemptions to $10 million, indexed for inflation ($11.18 million for 2018), and retained the estate/gift/GST tax rates of 40
IRS lists AFRs for May 2018
The Internal Revenue Service has released the Applicable Federal Rates (AFRs) for May 2018. AFRs are published monthly and represent the minimum interest rates that should be charged for family loans to avoid tax complications.
Here are the rates for May 2018:
|
|
Annual |
Semiannual |
Quarterly |
Monthly |
|
Short-term |
2.18% |
2.17% |
2.16% |
2.16% |
|
Mid-term |
2.69% |
2.67% |
2.66% |
Oops! I bid (on) it again … Can I at least get a tax deduction?
“Any other bids? And….sold to No. 45 for $1,500!”
Yes! You have outbid the other contenders at the local humane society’s charity auction to win a five-night stay at a condo in Destin, Florida, in August. You think, “Not only did I get a great vacation, I also get a tax deduction for my donation!”
I always feel like somebody’s watching the trustee: Annual trust reports in Missouri
A trustee is responsible for administering a trust for the benefit of the beneficiary or beneficiaries. Unless the beneficiary is also a trustee, he or she will not have direct access to information regarding the investments, debts, liabilities, expenses, receipts and other financial arrangements of the trust. Without a mechanism for learning this information, the
IRS announces AFRs for April 2018
The Internal Revenue Service has released the Applicable Federal Rates (AFRs) for April 2018. AFRs are published monthly and represent the minimum interest rates that should be charged for family loans to avoid tax complications.
Here are the rates for April 2018:
|
|
Annual |
Semiannual |
Quarterly |
Monthly |
|
Short-term |
2.12% |
2.11% |
2.10% |
2.10% |
|
Mid-term |
2.72% |
2.70% |
2.69% |
Saving state income taxes on trusts
Similar to individuals, trusts normally pay federal and state income taxes. In 2018, the highest federal rate of 37 percent only applies to single individuals if they have more than $500,000 of income and to married couples filing jointly if they have more than $600,000 of income. However, a trust will be in the highest
IRS releases AFRs for March 2018
The Internal Revenue Service has released the Applicable Federal Rates (AFRs) for March 2018. AFRs are published monthly and represent the minimum interest rates that should be charged for family loans to avoid tax complications.
Here are the rates for March 2018:
|
|
Annual |
Semiannual |
Quarterly |
Monthly |
|
Short-term |
1.96% |
1.95% |
1.95% |
1.94% |
|
Mid-term |
2.57% |
2.55% |
2.54% |
What does the IRS’ Michael Jackson dispute mean for celebrity estate planning?
When Michael Jackson died in 2009, he left behind a convoluted legacy that has presented issues for fans and tax collectors alike, and the legal repercussions are ongoing.
At the time of his death, Jackson’s reputation had suffered from allegations of child abuse, drug use and erratic behavior. The circumstances of his death, however, heightened
Estate planning after the 2017 tax act
On Dec. 22, 2017, President Trump signed into law what is commonly known as the Tax Reform and Jobs Act of 2017 (2017 Act). As explained in more detail below, the 2017 Act increased the estate, gift, and generation-skipping transfer (GST) tax exemptions. This legislation expires at the end of 2025 and the tax laws
IRS announces AFRs for February 2018
The Internal Revenue Service has released the Applicable Federal Rates (AFRs) for February 2018. AFRs are published monthly and represent the minimum interest rates that should be charged for family loans to avoid tax complications.
Here are the rates for February 2018:
|
|
Annual |
Semiannual |
Quarterly |
Monthly |
|
Short-term |
1.81% |
1.80% |
1.80% |
1.79% |
|
Mid-term |
2.31% |
2.30% |
2.29% |