Archive for Estate - Tax
H&A Wins Self Dealing Penalty Abatement
The IRS confronted our client with an assessment of over $700,000 in self dealing transaction penalties under Internal Revenue Code Section 4941 for its dealings with a private foundation. H&A obtained a full abatement of the assessed penalties through hard work, creative thinking, and attention to detail. This was a collaborative effort by our tax [...]
Amend Your FLP’s and FLLCs for Fisher/Price
Many of our clients have created family limited partnerships (“FLPs”) and Family Limited Liability Companies (“FLLCs”) for a variety of business reasons. Often, they will gift interests in those entities to children, grandchildren, or trusts set up for their descendants. If they want to avoid using their lifetime gift exemption (currently $1 million dollars) or [...]
Proper Planning and Management Critical For FLP’s
Proper planning and hands-on management are critical to reduce the risk of IRS scrutiny on a family limited partnership or family limited liability company (hereinafter collectively referred to as “FLP’s”). A litany of cases exist as cautionary tales for what can go wrong without them. Estate of Shurtz v. Commission, T.C. Memo 2010-21, Docket No. [...]
Governor signs Senate Bill 461
Governor Perdue signed Senate Bill 461 on May 28, 2010, making the provisions thereof retroactive to January 1, 2010. As discussed, the law allows married Georgia residents to utilize the entire step up in basis provided under the current estate tax laws without modification to current documents.
If you have any questions about this law or [...]
Georgia Senate Bill 461 and Funding of the Marital Trusts
As a previous article stated, the Federal Estate Tax purported repeal and the new carryover basis rules could cause problems for older Wills of married persons where the Will is drafted to maximize the Federal Estate Tax Exclusion. The Georgia legislature is in the process of passing a bill that would all the language of [...]
Federal Estate Tax Laws that may affect your Will
As a result of the 2001 tax legislation, the Federal Estate Tax has purportedly been repealed for 2010. While Congress is still debating the issue, as it stands now if a person were to die in 2010 there might be no federal estate tax on their estate. Additionally, step up in basis of assets to [...]
Federal Estate Tax Laws that may affect your Will in a Second Marriage
As a result of the 2001 tax legislation, the Federal Estate Tax has been repealed for 2010. While Congress is still debating the issue, as it stands now if a person were to die in 2010 there might be no federal estate tax on their estate.
There could be an issue with providing assets for some [...]
H&A Attorneys’ Give Presentation
Bridget Christian and Marc Dearth gave a presentation on Estate Planning at the First Baptist Church of Atlanta’s Senior Caregiving: Challenges and Choices seminar on Sunday, February 21, 2010. The presentation highlighted various estate planning documents every individual needs and the way these documents work.
Estate Planning with Vacation Homes
One of the most important assets to families in estate planning may often be the family vacation home. There are numerous ways to transfer ownership to successive generations, each with benefits and drawbacks. Here is a brief synopsis of a few more common methods.
Outright transfers
The easiest way for a person to pass title to successive [...]
Roth IRA Conversions: Additional Planning Considerations
As mentioned in our first article on Roth IRA conversions, the income limits have been eliminated for Roth IRA conversions in 2010 and 2011. This article will provide some additional planning opportunities related to Roth IRA conversions.
1. Have a profit sharing plan? You can convert to Roth IRA!
Many clients have profit sharing plans and non-traditional [...]