Estate Tax Planning
Taxes are inevitable… so are death taxes, especially if you live in Illinois.
Estate tax and gift tax planning can help you maximize and preserve your wealth. While the federal estate tax exemptions are fairly generous, $11.58 million per individual, Illinois' estate tax exemption is only $4 million. This means that if you have in excess of of $4M, then your estate, the assets that are in your name upon death, may be subject to estate tax. Your estate includes, but is not limited to, your probate estate, life insurance policies which you own, real estate, trusts, annuities, and business interests that you own. It is very important to understand the ramifications of federal and state estate tax rules because you could subject yourself to various penalties if you fail to comply.
Gift Tax Planning
If you make gifts in excess of $15,000 you must file a gift tax return. You can also utilize this gift tax exclusion amount through annual gift giving programs. This process does not have to be complicated for gift-givers. PHM Law can help you maximize your exemptions and comply with the rules prescribed by the Internal Revenue Service if you plan on making a substantial transfer or have already made one and have yet to file a tax return.
