One of the most talked about changes to the Federal estate tax centers on the portability of the decedent spouse's unused exclusion. If elected, this new rule allows the surviving spouse to take advantage of the decedent spouse's leftover exclusion after death. However, mainstream media has taken the term "portability" and used it to make it sound "out [...]
Revenue Procedure 2011-52 sets forth inflation adjusted items beginning in 2012 (read more). For an estate of any decedent dying during calendar year 2012, the basic exclusion amount is $5,120,000 for determining the amount of the unified credit against estate tax under §2010. This reflects a $120,000 increase over the 2011 basic exclusion amount. For [...]
"Carpe Diem" is a latin phrase translated as "Pluck the Day" or more fashionably, "Sieze the Day". The original source of the phrase is credited to the poet Quintus Horatius Flaccus (more widely known as Horace). However, many less scholarly people (myself included) picked up the phrase from the character John Keating, played by Robin Williams, [...]
A recent SEI Wealth Network survey found that 80% of those polled planned to transfer wealth directly to family members, yet only 46% actually had a plan in place to do so (read the article). While this article did not mention him directly, I don't think "Uncle Sam" was the intended family member in any of these wealth transfer [...]
A federal appeals court affirmed a popular gift tax strategy that is available for taxpayers to help lessen the blow when IRS does not accept valuation discounts on gifts. This technique is intended to discourage the IRS from challenging valuation discounts. By making gifts default to charity if the valuation discounts are adjusted by the IRS, it effectively takes those [...]
JamisonMoneyFarmer continues to take a leadership role in the business and CPA world in the state of Alabama. After we shared Carl Jamison's work with the Alabama Business Council last week, we are pleased to announce that another JMF shareholder, Leighanne Faught, has been appointed by Governor Robert Bentley, upon confirmation of the Senate, to serve on [...]
Substance, yes, but…where's the Form? On August 5, 2011, IRS released the much anticipated Notice 2011-66 clarifying, for decedents dying in 2010, the time and manner in which an executor may elect out of the $5 million estate tax exemption and opt in to the carryover basis rules under Section 1022 of the code. Form [...]