Posts Tagged ‘Gift Tax’


The Difference Between an Inherited Asset and a Gift Received

caughted

Whether you receive an asset from inheritance or from a gift can have significant tax impact when this asset is sold.

Inherited Asset

For an inherited asset you generally take this asset over at the Fair Market Value at the Date of Death. This value would be listed on the probate inventory.  Additionally for a Connecticut decedent it would be listed on … Continue reading »


How to Calculate Your Cost Basis and Save Money…Guaranteed

money

When you sell a capital asset you need to know when you purchased it and what the cost basis is.  These will be used to determine what your capital gain (or loss) is.  Capital assets are items such as stocks, bonds and mutual funds.

Holding Period

A short-term capital gain is for a capital asset held a year or … Continue reading »


3 Reasons to Fund a 529 College Savings Plan

 

1) College is Expensive

According to the College Board the average tuition for a 4 year private education is $39,518 per year.  The average cost of a 4 year in- state public education is $17,860.  Either way, it’s a lot of money.


A Summary of the American Taxpayer Relief Act of 2012

 

The Federal Government avoided the Fiscal Cliff...Well, for now any way.

 

At the very last minute they passed the American Taxpayer Relief Act of 2012.  Here are some of the highlights:

 

 Income, Capital Gains and Qualifying Dividends Tax


The Last (Really BIG) Tax-Free Gift

Under current federal estate tax law there is an exclusion up to $5.12 million in 2012. Taxable estates above this amount are taxed at 35%. This exclusion is scheduled to decrease to $1 million beginning in 2013. The tax rate will also increase to 55%. This exclusion can be used either at death or during life.  In other words, the federal estate tax and the federal gift tax are unified.

There is speculation that Congress won’t allow this exclusion to … Continue reading »