NJ Estate Tax Repeal: How Does This Affect You?
It’s official. According to NJ.com, Governor Christopher Christie has signed a bill to repeal the New Jersey Estate Tax. The new law is part of a larger package deal that increases the gas tax, reduces the sales tax slightly, gives the working poor a larger tax credit, gives a tax cut on retirement income and gives a tax […]
A Trust can Qualify for a Section 121 Deduction (For Sale of a Personal Residence)
Typically, people take it for granted that there will not be any tax when they sell their personal residence. Technically, there is a tax, but the government also offers a limited exclusion under Section 121 of the Internal Revenue Code. For individuals who sell their primary residence, you can exclude the first $250,000 of gain. […]
Termination Clause in Special Needs Trust
The Social Security Administration has issued new rules, SI 01120.199, related to the early termination of Self Settled Special Needs Trusts created on or after January 1, 2000. Self Settled Special Needs Trusts, also known as First Party Special Needs Trusts established under Section 1917(d)(4)(A) of the Social Security Act. are designed to avoid being […]
What is a Self Settled Special Needs Trust?
There are generally two types of private special needs trusts: Third Party Special Needs Trusts; and Self Settled Special Needs Trusts (also known as First Party Special Needs Trusts or D-4A Trusts). A person who is receiving (or about to receive) Medicaid and Supplemental Security Income (SSI) may wish to consider establishing a Special Needs […]
Special Needs Planning in NJ – Part 1 of 4
PART I – GOVERNMENT BENEFITS Many parents of a special needs child have an overwhelming concern: How (and by whom) will their child be taken care of when I die? In this series, I would like to explore the options that exist to ensure that your child will be provided for. In order to understand […]