Good News and Bad News Regarding Estate Planning

Good News: The IRS has raised the federal estate tax exemption in 2015, allowing very large estates to shelter $90,000 more from taxes than they did last year. That means that those who are beneficiaries of substantial estates will have to pay a little less in taxes if they inherit this year.

Bad News: This is just one of many laws regarding the taxation of estates and many can be extremely complicated. There are higher tax rates for the income that estates and trusts earn, but simplified regulations when a surviving spouse asks for more time to take advantage of beneficial tax rules.

We highly recommend that – no matter what your income level – you take the time to consider estate planning concerns.