Executor Commissions: Calculating in New Jersey
From time to time, people ask me about trustee and executor commissions in New Jersey. Because it is a bit complex, I have broken it down into two posts and I will focus on administrator and executor commissions today. To start, a Will can specifically provide for an executor’s commission. In that absence of expressly authorizing a […]
Gifting to Parents to Save on Capital Gains Taxes
As I gaze outside at yet another major snowstorm here in Mercer County, NJ and contemplate how nice it would be if I were visiting my folks near my Boca Raton, Florida office, I am reminded of a tax savings idea that I heard was gaining traction amongst wealthy children whose parents are still living. […]
IRS Issues Ruling on Tax Filings for Same Sex Couples
Yesterday the Internal Revenue Service issued an important ruling in the wake of the Windsor case in which the Supreme Court ruled that the Defense of Marriage Act was unconstitutional. Specifically the IRS stated that it will recognize all same sex marriages regardless of where the couple was married. The Supreme Court did not specifically address what would […]
Affect of United States v. Windsor on NJ Same Sex Couples
After scrutinizing the United States v. Windsor decision yesterday a little more thoroughly, it occurs to me that same sex couples in New Jersey are still a state of limbo. It should be noted that the Supreme Court relied on the fact that the couple in the Windsor case not only were legally married in Canada, but […]
Can an Attorney for an Estate who is also an Executor Double Dip?
I am frequently asked whether an attorney who is acting as an executor for an estate can receive both an executor’s commission and legal fees for representing the estate. Although this may sound like a conflict of interest, the short answer in New Jersey is yes, it is specifically allowed under New Jersey Statute 3B:18-6. […]
Three Gift Ideas—ROTH Style
Idea One—Money One of the questions that frequently comes up when I speak with clients is that they want to be able to gift money to their heirs, but they do not want their offspring to waste the money. There are a number of ways to accomplish this. If you are considering gifting a significant […]
Dangers of Specific Bequests and General Bequests
WHAT ARE SPECIFIC GIFTS AND GENERAL GIFTS? A specific bequest is a gift of a specific piece of property to a specific person. Three examples of this are: I give my real estate, located at 1 Main Street, Anytown, State, to my son, Jake Smith. I give my 500 shares of stock of XYZ Corporation […]
Deathbed Transfers in New Jersey
Often times, a person who is on his or her deathbed will make gifts to family members in an effort to reduce the potential taxes owed. For transfers to anyone other than a charity, making gifts in a way that minimizes taxes is actually a very complex process. In deciding whether to make a gift, […]
Comparison of PA and NJ Inheritance Tax Laws (Chart)
As a followup to my October 4 post comparing the PA and NJ Inheritance tax laws, I thought it might be helpful to see all the information in a format that is a little easier to comprehend. Accordingly, I have prepared a chart, which you can view by clicking on this link: Chart Comparing New […]