Five Important Facts about Estate Planning and Taxes in 2019
There are many reasons to review your estate planning documents periodically. One event that should prompt you to pull out your estate planning documents is any revision made to the tax system. If you are reviewing your estate planning documents this year, consider the following tax issues that might impact you and your beneficiaries. Many Tax Exemptions are Only Temporary It is important to remember that several current tax exemptions are merely temporary. While the $11.4 million per individual transfer tax exemption is attractive, it will not last forever. After 2025, this exemption will return to $6 million per individual. This is not the only temporary part of the current tax code, however. It is critical for anyone planning for the future to create flexible estate planning strategies and consider these factors. An experienced estate planning attorney can help ensure that you are on the right track. IRA Beneficiaries If a person inherits an IRA, the distribution requirements depend on whether the beneficiary is a spouse or non-spouse. Spouses have the choice of rolling IRA assets into an inherited IRA or their own IRA accounts. Non-spousal beneficiaries are often required to either withdraw all funds from the IRA within five Read More