North Carolina does not impose an estate tax at the state level. But you will need to plan ahead for estate taxes from the federal government. The good news is federal taxation on estates usually only applies to high-asset situations. The IRS explains the intricacies...
estate tax
Optimize your tax returns and avoid the gift tax
North Carolina residents who work hard to ensure they have a comfortable retirement are often surprised about how much taxes can cut into their funds. While virtually everyone can benefit from tax planning, it is essential if you have a significant estate. According...
Old strategy helped by tax law changes
Changes in tax law have brought an old strategy back for taxpayers in North Carolina and across the country. It allows taxpayers to save taxes on appreciated assets. The renewed interest in the strategy comes from an increase in the number of tax exemptions that went...
Planning ahead for estate taxes
There are some unique tax considerations to keep in mind when an estate owner in North Carolina passes away. In most cases, an executor or personal representative is named in the will. When one does not exist, they can be appointed by the probate court. This person is...
What to know about federal estate tax laws
Those living in North Carolina or any other state have the right to gift up to $11.18 million without any estate tax implication. The exemption amount was increased from around $5 million as per the Tax Cuts and Jobs Act (TCJA). However, the exemption is planned to...
Tips for reducing estate tax
Some North Carolina residents may need to employ some strategies to reduce what their estate will owe in taxes. The current federal exemption is nearly $11.2 million, but for estates worth more than that, there are additional options. People can give away $15,000 per...
Tax code changes impact life insurance trusts
There are an estimated 1,800 estates that will be subject to federal estate taxes after the passage of the Tax Cuts and Jobs Act. The legislation increased the federal estate tax exemption to $11.2 million and $22.4 million for married couples. North Carolina...
Changes in the tax law and its effect on legacy planning
In 2017, Congress passed legislation that made significant changes to tax law. For people in North Carolina who are creating an estate plan, the major part of that law that may be of interest is the increase in the estate and gift tax exemption to $11.2 million for...
What to know about estate taxes in 2018
In 2018, residents of North Carolina, along with the rest of the country, will have a $5.6 million federal estate tax exemption. This is an increase from $5.49 million in 2017. Couples may choose to combine their individual exemptions, which means that they have a...
Estate tax rules withdrawn by the Treasury Department
Small business owners in North Carolina may breathe a sigh of relief upon learning that the proposed valuation rules for family businesses will be withdrawn by the Treasury Department. The rules were proposed in August 2016 and would have greatly limited discounts in...
