Ridgewood Inheritance And Estate Tax Attorneys
The state of New Jersey is the number one most expensive state in the country to die. This is due to the fact that estates are subject to an inheritance tax and an estate tax. This can result in a significant burden for the heirs of your estate if over $675,000, especially if you leave assets to brothers, sisters, nieces, nephews and friends. Fortunately, there are a number of estate planning tools that may be used, which can help reduce or eliminate these significant tax liabilities.
Since 1975, the Ridgewood inheritance and estate tax lawyers at the law firm of Michael A. Manna & Associates have been helping meet the estate planning needs of individuals throughout New Jersey and New York. We will thoroughly review your situation to help identify opportunities to minimize your estate’s tax burdens.
New Jersey and the Inheritance Tax
The inheritance tax in New Jersey only affects a small percentage of estates. However, this tax does not discriminate based on an individual’s wealth. Rather, taxes are simply assessed at a rate of up to 16 percent based on who the assets are left to. Many people are not even aware of this tax until it is assessed. Fortunately, there are ways to help minimize the potential impact of this tax.
One means of avoiding the inheritance tax is to gift assets to individuals prior to death. Another potential option is the creation of living trusts and other estate planning tools. Depending on your situation or the situation of a loved one, a move to a state where this tax is not assessed is a potential option. For example, transferring a loved one from a nursing home in New Jersey to a nursing home in Suffern, New York, (only 10 miles north of our office in Ridgewood) can help avoid this tax. Our attorneys will explore all of the options that may be available to you.
New Jersey and Estate Taxes
People often confuse the federal estate tax with the state of New Jersey’s estate tax. These are two separate taxes and an estate may be subject to one or the other or both. In New Jersey, estates that are worth $675,000 or more are subject to the state’s estate tax, with the maximum tax rate of 37 percent. Properly planning around this tax is an essential part of any estate plan, as is keeping the plan updated to ensure that it accounts for changes to the law, your personal situation and the fluctuation in your wealth. We will work closely with you to establish or update your estate plan to help avoid this potentially significant tax burden.
Contact Our Bergen County Estate Planning Lawyers
Estate and inheritance taxes can catch parties by surprise and result in a serious tax burden. We can help you plan for your family’s future and minimize the impact of these taxes. Contact our Ridgewood inheritance tax attorneys online or call 201-345-3018 to schedule a free initial consultation to discuss your situation. We represent clients throughout New Jersey and New York.