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Articles Posted in Estate Planning
Where There’s a Florida Will, There’s Your Way!
Whatever the extent of your Jacksonville property or assets, it is important to have your Florida will drawn up. If you die before you make a will, the State of Florida intestacy succession laws will distribute your property for you. It is important to consult with a Jacksonville Estate Planning Attorney to ensure that your will is prepared in accordance with Florida Statutes.
To be valid in Florida, your will must meet certain requirements:
• Legal age
• Testamentary capacity (of sound mind and body)
Houston Astros on the Market for Estate Tax Reasons
Forbes.com has reported that no price has been set for the Astros, but Drayton McClane Jr., has decided to sell the team for estate planning purposes. The team is worth a reported 455 Million and could create a tax bill of more than 200 Million dollars.
While the proposed changes to the estate taxes will help many people, it will still create major problems for larger estates. If you want to discuss your estate and what options you may have to reduce estate taxes or probate costs and delays, you should contact a Jacksonville Estate Planning Lawyer to discuss your circumstances and goals.
5M Estate Tax Exemption? But what about Stepped Up Basis?
It has been widely reported that the extension of the Bush Tax Cuts is being recommended by Obama in addition to agreeing to a new estate tax of 35% on assets in excess of 5 Million dollars but no one is reporting on what will happen with the loss of stepped up basis. For many Americans the loss of stepped up basis could cost more than if there was a lower estate tax exemption.
The bill is reported to be submitted to congress today so we should know soon what we are dealing with. Either way it will cause many American families to have to revisit their estate planning and life insurance needs over the next few months.
Oklahoma Law Lets Executors manage Online Social Media Accounts
A new law in Oklahoma appears to let estate executors have the power to access, administer, or terminate online social media accounts of the deceased. This law is in direct contradiction to the licensing arrangements of most online accounts and it has yet to be seen how and if the law will provide rights to estates.
The law should remind the people as they go about their estate planning that, in addition to their personal and real property, they should make plans for the vast amount of intellectual property they will leave behind.
As digital photo accounts, iTunes accounts, cell phone applications, and email accounts replace their traditional counterparts with many people, it is becoming more important than ever to address these assets in every estate plan.
Homestead Exemption Crackdown
Most Florida Estate Planning Lawyer deal with planning for the unexpected and protecting your assets for those after we are gone. Part of this protection and planning often involves the use of the Florida Homestead. The Homestead Exemption is not exclusive to Florida. A recent case, a New York Representative is accused of claiming a Homestead exemption for a home located in Washington, D.C.
The homestead exemption varies from location to location, but it generally applies to one’s primary home. Recently government officials have noted that even though this exemption was established in the late 1800s, still only few today take advantage of it.
Tax officials in several locations around the country, including Florida, have begun to crackdown on the number fraudulent claims that are being reported every year. The New York Times reported that Jennifer Frastai, City manager of Hallandale Florida, has begun an intensive effort to stop fraudulent homestead claims.
The Future of Multi-Member LLC’s in Florida
The recent court decision which removed the charging order protection for single member LLC’s has raised concern over whether a multi member LLC has charging order protection.
In addition, a member in Florida is defined as one who has an an economic interest in a Florida LLC as well as one who has been admitted as a member. In the case of bankruptcy, one may no longer be considered a “member” as defined in Florida law.
Many Florida lawyers are advising those who have single or multi member LLC’s in Florida to switch them to LLC’s in other states or change them to Florida Limited Liability Partnerships. Please note that just changing to a FLLP or FLLLP is not enough, one must have a special operating agreement which sets fourth obligations that will make it an executory contract in the case of bankruptcy.
Some Contemplate Dying in 2010 to Avoid Estate Taxes
Forbes has an article about contemplation of death in 2010 to avoid estate taxes. As 2010 comes to an end, there may not be time for many to make the decision. The article quotes Rep. Cynthia Lummis in saying that some of her Wyoming constituents are planning to discontinue dialysis and other life-extending treatments so they can die before December 31st.
In many cases, the stories of this seem to be overblown as many can have the same results with good estate planning. To discuss your options contact a Jacksonville Estate Planning Lawyer.
First congressional face-off of new year could be over tax cuts
The Bush tax cuts are set to expire on 12/31/2010. Many feel the the first face-off between Republicans and Democrats could be over the estate tax and income tax issues. If nothing is done we will see significantly higher estate taxes and income taxes in 2011.
To plan for these higher estate taxes and see hot to reduce the effects of a Florida Probate contact a Jacksonville Estate Planning Lawyer to discuss how planning can give your family advantages over the typical Florida Probate process.
Family Business threatened by Estate Tax
The Napa Valley Register has a story of how a family vineyard was hurt by not planning properly for estate and death taxes. While this has not been a major concern this year with few states having death taxes and none at the federal level, this is about to change January 1st unless there is a legislative change. The federal estate taxes are set to resume January 1, 2011 with rates as high as 55% on estates in excess of 1 million dollars.
It is important to plan for estate taxes and have the liquidity necessary to pay them or your family business could be devastated and forced to liquidate to pay the IRS. To discuss how you can plan for the higher estate taxes contact a Florida Estate Planning Lawyer to discuss your options.