Individual, Fiduciary, Gift, Estate, and Generation Skipping Planning & Preparation

Almost every transaction has a tax consequence.  Simply earning interest and dividends triggers income and net investment tax considerations. Likewise, for capital gains, with the additional considerations of offsetting capital  losses and the Alternate Minimum Tax (“AMT”).

Trustees, Executors and other fiduciaries administering trusts and other legal entities like a probate estate, have similar income, net investment, AMT and capital gain taxes to consider, plus a host of other issues like beneficiary distributions and deductions.

Just making a simple gift could trigger a gift tax return and perhaps even some gift tax, although there are many planning opportunities to avoid both the return and the tax. Basis step-up should also be considered when gifting.

Unfortunately even dying may trigger an estate tax return and an estate tax, although careful planning may avoid most returns and the tax, or at least delay the imposition of the estate tax.

Generation Skipping Taxes must also be considered when assets are transferred to a 2nd generation beneficiary during life or at death.

We consult with and advise our clients on implementing the most efficient ways of minimizing the taxes that may be associated with the proposed transaction.  Once a strategy is chosen, we’ll document the transaction to minimize the tax and then prepare the required tax return.  Since we have worked with the client to develop the tax strategy, we think that we are in the best position to prepare the tax return reporting the transaction, and if necessary, defend that strategy and tax return if there is an audit.