A Tax Estate Attorney helps people and families arrange for the transfer of money or property after someone’s death. This may involve setting up trusts, wills and advance health care directives. They also advise on ways to minimize the amount of federal estate taxes owed. They can help a client set up a special trust for life insurance proceeds that are subject to estate tax.
These attorneys generally charge by the hour, though some may offer flat fees for simple or routine cases. The rate is usually in the range of $200 to $400 per hour, although highly experienced attorneys or those working at large firms in major cities can charge more than this. They often charge for consultations and meetings with clients as well.
Estate planning can be complicated and it’s important to consult a qualified attorney to make sure you’re minimizing the taxes owed. They will help you understand the various laws in your state and how they pertain to your situation. They will also help you make the necessary arrangements to avoid or minimize estate and gift taxes, which are levied by the government after a person’s death.
An experienced New York Estate Tax Attorney can guide you through this complex process and help you protect your wealth from taxes. They have the experience and knowledge needed to help you with all aspects of estate planning, including drafting legally enforceable documents such as wills and trusts. They can also assist with the preparation of federal and New York estate tax returns.
Becoming a tax attorney requires extensive education. Most have bachelor’s degrees in areas such as accounting, finance, law or business administration. They then attend law school where they study extensively on subjects such as taxation, estate and gift law, estate and generation-skipping transfer taxes, and trusts and estates. They must also take several bar exams in order to become licensed.
Tax deductions related to estate planning are typically classified as miscellaneous itemized deductions and subject to a 2% floor, meaning they can only be deducted up to 2% of your adjusted gross income. Generally, these include legal fees associated with the creation of the trust or its maintenance and preservation. They can also include filing fees incurred in collecting or refunding estate taxes.
During the last couple of years, it has taken longer to receive the final return from the IRS due to COVID-19. This has made it difficult for executors to meet the April deadline for submitting the return.
The estate of a deceased individual is subject to federal and New York state estate taxes, which are determined by the value of all property in the estate, including bank accounts, joint property, life insurance, and other assets. If the estate is over $1 million, there’s a chance that the executor will have to pay more than 50% of this to the federal government. An experienced New York estate tax attorney can help you reduce your federal and New York estate taxes.
