The "estate tax" (also called an inheritance tax or death tax) is a special
tax on property left by a deceased person. In the U.S., there are separate
federal and state estate taxes, but most state death taxes, including
California’s, can be claimed as a credit against the federal estate tax. The
overall estate tax rate thus remains uniform [...]
In the past few weeks, the prospects of reductions in federal estate taxes
have begun to look more promising than at any time in the past decade.
Currently, federal estate taxes are imposed on the estate of any person who dies
leaving assets worth more than $600,000 (excluding bequests to a suriviving
spouse or charity). In some cases, a [...]
Years of promises of estate tax relief were finally fulfilled, in part, by
the "Taxpayer Relief Act of 1997" and the 1997 Budget Act.
Background:
Since 1987, federal estate taxes have been imposed on the estate of any person
who dies leaving assets worth more than $600,000 (excluding bequests to a
suriviving spouse or charity). In some cases, a married [...]
US resident aliens and citizens who work in abroad are sometimes unaware of the fact they need to still report their income to the Internal Revenue Service, even if they don’t owe any tax.
In many cases, there will be little if any taxes owed in the US. That’s because the US tax laws provide [...]