Estate and Inheritance Tax Federal & State

[@Paul-GrnHil]

Very informative. I live in Florida but my daughters/heirs live in Washington and Maryland. I hadn’t considered the MD inheritance tax for my Maryland daughter. I need to expand my estate tax planning beyond the impact of Federal and Florida tax laws.

[@ttocselbag5054]

You men keep me on my toes. Thank you!!

[@pauld9653]

Thank you for these educational videos, they're Gems ! I just saw some trivia about Warren Buffet's net worth.. 81 billion of his 84 billion was created since he turned 65.. even average portfolios can grow into large sums over a 30 yr retirement and create estate issue's ..

[@candiceclgg5693]

What about a brother estate tax exemption if half a property is left to a brother we are being hit with like 20,000 inherited taxes there anyway to get that knocked down or something cuz I'm not really understanding this video Make it for dummies please

[@margarettowery6752]

Does all life insurance result in state and federal taxes being involved?

[@CardinalAdvisors]

@@margarettowery6752 We are talking about Federal and State inheritance tax here. Most life insurance is under the exemption amounts so little inheritance tax is paid on life insurance. One can set up an irrevocable life insurance trust ILIT to shield large amounts. Very little life insurance faces the income tax.

[@magapatriot2943]

Boston Tea Party

[@mtbbiker6401]

Can State inheritance taxes be deducted from Federal taxes to offset reported income from a distribution?

[@CardinalAdvisors]

You may deduct state estate and inheritance tax on the federal return

[@mtbbiker6401]

@@CardinalAdvisors Thank you for your reply. A NJ accountant, referred us to Topic no. 503 which specifically reads estate and inheritance tax is nondeductible, at least on Schedule A 1040. After much searching, Topic 503 is the only place I found any language specifically excluding estate and inheritance tax but maybe this only refers to Federal (but there is no Federal inheritance tax). Very confusing!

[@CardinalAdvisors]

I thought your question was regarding form 706 Federal Estate Tax return. State inheritance and estate taxes are deductible on 706.

[@mtbbiker6401]

@@CardinalAdvisors Okay thank you. The estate is under $1M so I don't think any Federal Estate Tax would apply. A K1 was issued from the estate for distributed retirement accounts to the beneficiary. The beneficiary individual will report K1 income tax on 1040. The beneficiary personally paid hefty state inheritance tax for the value of entire estate including property. Was thinking state inheritance tax portion of K1 income might offset reported income but it seems like that would only apply if the estate paid the inheritance tax. The executor handled all the estate administration with their accountant. Beneficiary received K1 and paid all state inheritance tax from personal money. Excellent video educating people on the importance of estate planning in these states. Appreciate your time.

[@candiceclgg5693]

Yeah they're hitting us for half a property cuz it was half my brother-in-law's and it was jointly owned and I already paid off the loan and my husband wanted me to have that half but because they don't recognize me as the new owner of half of it and we can't get the deed yet because they're hitting us with $20,000 inheritance