The IRS recently announced safe harbor rates for April 2012. Safe harbor rates are the minimum interest rates that can be used to avoid gift tax treatment that is associated with below market rate loans. The minimum interest rates for April are still very attractive.
0.25% per year for loans for 3 years or less;
1.15 per year for loans greater than 3 years and up to 9 years; and 2.7% per year for loans greater than 9 years.
Indians’s Gov. Mitch Daniels signed to repeal the inheritance tax for deaths after Dec. 31, 2021. The relief is retroactive to January 1 and increases amounts exempt from the tax for 2012 deaths.
Currently 22 states and the District of Columbia impose an estate / inheritance tax in 2012. See Forbes article on Another State Death Tax Kicks the Bucket, Will More Fall? for more information on this topic.
If you live in a state that has an estate tax or inheritance tax you may want to consider the additional taxes that your estate or beneficiaries might be subject to in your planning.
Be careful of agreements that you sign with banks. This family is being held hostage by a bank that made the beneficiaries sign an agreement that required all 94 of them to agree prior to moving their money to another bank.
The Tompkins family had been customers of Riggs Bank for nearly 50 years when a money-laundering scandal at the Washington lender prompted them to take their business elsewhere (to Chevy Chase Bank)….The family blames Chevy Chase for poor investment returns, among other things. They can’t move the accounts, now worth $100 million or so, because of a fundamental error they made seven years ago when signing up with Chevy Chase: They failed to read the fine print. In their haste to flee Riggs, which was eventually sold to another bank, the family signed an unusual agreement that prohibits it from pulling the money from Chevy Chase unless all 94 family members who are beneficiaries of the trust agree. Having failed to secure familial unanimity, 10 of the grandchildren are now suing Chevy Chase Trust for the right to pull the funds.
If you own firearms and have done estate planning, you might want to review your planning with a Gun Trust Lawyer®. About 5 years ago, I recognized the problems that are inherent with traditional estate planning (wills, revocable trusts, or the default planning offered by each state) as they relate to firearms.
Most Estate Planning is designed to deal with financial instruments and not the issues that surround the purchase, transfer, possession, and use of firearms.
Did you know that you will or trust probably contains language that instructs your family and friends to break the law after you die? Before you put your family and friends at risk of violating the law or giving a firearm to someone who you would not want to hand a gun, you should talk to your Florida Estate Planning Lawyer about creating a Gun Trust.
Often in an attempt to avoid a relatively small probate fee, individuals can create huge penalty periods and taxable issues for themselves. Take for instance, a woman in New York who, two years before applying for Medicaid, transferred money from her account to an account with a co-owner. Transferring individually owned funds to an account with joint tenants is a common way to avoid a Florida Probate.
While her estate planning attorney seems to have given the advice, he was not aware of the problems that estate planning techniques to avoid probate can have on Medicaid eligibility.
Not only can transfers like this have problems for the individual making the transfer, but they can also create problems for the beneficiary or the new co-owner who will now have additional assets in their name, that may disqualify them from government benefits like Medicaid.
You asked and a Jacksonville Estate Planning Lawyer will advise you that according to Florida Law, an “Advance directive” means a witnessed written document or oral statement in which instructions are given by a principal or in which the principal’s desires are expressed concerning any aspect of the principal’s health care, and includes, but is not limited to, the designation of a health care surrogate, a living will, or an anatomical gift.
A Health Care Surrogate is chosen by the principal to act for the principal and to make all health care decisions for him or her during the principal’s incapacity. The health care surrogate has the authority to consult with appropriate health care providers, to provide informed consent, to provide written consent, to be provided access to the appropriate medical records of the principal, and to apply for public benefits, such as Medicare and Medicaid on behalf of the principal.
The written designation of health care shall be signed by the principal in the presence of two adult witnesses. The person designated as surrogate shall not act as witness to the execution of the document designating the health care surrogate. At least one person who acts as a witness shall be neither the principal’s spouse nor a blood relative. It is strongly suggested that the execution of the designation of health care surrogate be done in front of a notary.
As Jacksonville Elder Law Lawyers, we are always looking for the most effective and least restrictive ways in which to serve the needs of our Jacksonville elderly. We keep current of the Florida statutes and the numerous Florida cases which interpret matters involving Florida’s senior citizens.
Elder law encompasses many aspects, including estate planning, guardianship, medicaid issues, and of course, health care issues. As Florida Elder Law Attorneys, we also look to various research and articles throughout the nation which focuses on issues related to aging.
Recently an interesting article caught our attention dealing with coconut oil and it’s effect on those suffering with dementia and Alzheimers. We want to share information we learn of that may have a positive impact on your lives. This article addresses alternative medical treatment.
You have heard it all before again and again. The reason for the repetition is . . . there really are 7 estate planning documents that should be prepared before one dies.
A Jacksonville Estate Planning lawyer will provide you with story after story that have no happy endings. These stories begin with people who talked about contacting a lawyer to have legal documents prepared, but never did.
The documents you need to consider today are:
Raising and caring for your children is difficult enough without the additional complications that arise when you are bringing up children in a same-sex relationship. Inherent rights afforded to “straight” or heterosexual couples are non-existent for gay couples. The lack of legal rights for those in relationships not recognized by the State of Florida, will effect your property rights, your health care decisions, the distribution of your assets after death, and most importantly, your children.
If you are not the legally recognized or biological parent of a child, there are several legal documents you can utilize to provide you the authority you need.
A Last Will and Testament will enable you to name your choice of guardian for your minor child in the event of your death or incapacity.
There are certain times when a Probate case can use Formal Notice to reduce the time required and other times when it is required. Formal notice is defined by the Florida Probate Code to be notice which is sent by via certified mail to each interested person. Sometimes notice can be by publication when the whereabouts of a particular interested person or entity cannot be determined. This notice by publlication requires a much longer time period to the party to object than the 20 days when an interested party is serverd by formal notice. Some examples of when Formal Notice can or will be used include:
Petition for Administration Petition to Determine Beneficiaries Petition to Revoke The Probate of A Will Petition to Probate Lost Will Petition to Construe Will Petition to Remove A Personal Representative Petition to Surcharge Personal Representative Petition to Cancel a Devise
