Act Within the Next Two Years to Gift Monies without Hefty Gift Taxes
Mar 31, 2011
Brandon, FL (Law Firm Newswire) March 31, 2011 – Wealthy individuals and married couples will have two years – 2011 and 2012 – to give a minimum of $5 million to loved ones without having to pay gift tax. The Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 created this tax break right before the winter holidays. Before then, individuals could only give $1 million tax-free, and it will transfer back to this amount in 2013.
With this legislation, gift, estate and GST tax-free minimums are now unified. And tax rates for estate and gift taxes are at all-time lows of 35 percent. Otherwise, in 2013 the rate will jump back up to 55 percent.
“This means the wisest time to act is now,” said Reginald Osenton, Brandon estate planning attorney. “If you even have an inkling of gifting money in these amounts, we can help you with all the documents and big decisions.”
Some of the advantages of the new legislation include:
Individuals being able to get big amounts out of their estate and gain appreciation on property that is given between the date of the gift and the donor’s death.
A gift may be made outright or through a trust. A trust can even be made more effective as a “grantor trust” for income tax reasons.
Gifts can come from fixed assets like real property, limited partnership interests, and undivided interests.
“Gifts must be made in 2011 or 2012 and must be irrevocable and complete,” said Osenton, who has more than 20 years of experience in estate planning. “Donors should always be careful to gift assets that they would not need to support themselves later in life.”
Osenton Law Offices, P.A. assists with gift tax returns, preparing trusts and wills, and specialized estate planning to help individuals achieve their final wishes. Their goal is to make sure that an individual’s finances are handled appropriately and distributed in the most efficient, timely manner.
To learn more or to contact a Tampa estate planning lawyer, Brandon estate planning attorney, or Brandon family law attorneyor to contact a Brandon lawyer visit, http://www.brandonlawoffice.com.
Osenton Law Office, PA
500 Lithia Pinecrest Road
Brandon, Florida 33511
Call: (813) 654-5777
