Archives for estate planning

CA Proposition 19 and the Qualified Personal Residence Trust

Nancy Van Lanen, CTFA, EA Estate & Trust Director   The recently passed Proposition 19 in California provides expanded property tax benefits by allowing homeowners who are disabled, over 55 years of age, or whose homes were damaged in wildfire or other natural disasters, to transfer their property tax base value to a replacement residence of any value anywhere in the state.   This new law becomes effective on April 1, 2021. However, Proposition 19 limits the availability of the parent-child exclusion for purposes of real estate tax assessments.  It now requires inherited homes that are not used by the child
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Categories: Industry News and Newsletter and Updates.

Extraordinary Estate Tax Opportunity with the Tax Cuts and Jobs Act

You may recall that President Trump promised to repeal the Estate and Gift Tax and their cousin, the Generation Skipping Tax.   However, the enacted version of the Tax Cuts and Jobs Act signed just before Christmas 2017, left these three taxes intact.   The outcome is surprising, given that the Republican Party has often condemned these taxes, and given that the House, Senate, and White House are all on the same side of the party divide.   Yet, complete repeal was not accomplished.   Thus, these taxes remain a huge liability for high net worth individuals and families. What the Act does accomplish
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Categories: Newsletter and Updates.