![]() ![]() If a parent adds a child to their $500,000 savings account and the child predeceases the parent, a portion of the account value could be includable in the child’s estate for state inheritance/ estate tax purposes.For example, if a parent has a $500,000 account and they make it a JWROS account, naming their child as co-owner, and the child makes a $20,000 withdrawal, they have in effect received a gift $3,000 above the annual gift tax exclusion. citizen can gift up to $17,000 per year tax-free to anyone they want, but if the gift exceeds $17,000, and the beneficiary is not a spouse, it could trigger the need to file a gift tax return. ![]() Adding anyone other than a spouse could trigger a federal gift tax issue.As previously stated, the assets automatically transfer to the surviving owner, regardless of what your will says. If the intent was for the remaining assets not spent during the family crisis to be distributed via the terms of a will, that’s not going to happen.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |