New Jersey Death Taxes Come to Life

Benjamin Franklin once said that “nothing is certain except death and taxes.” However, that may not necessarily be true when it comes to inheritance tax in New Jersey.

While New Jersey estate tax was eliminated for deaths that took place on or after Jan. 1, 2018, many beneficiaries in the state are subject to inheritance tax, which is taxable to the person inheriting from the decedent. And as in all things, relationships matter. Payment of the tax depends upon the decedent’s relationship to the person inheriting and a myriad of other rules and regulations. The estates of people who choose not to get married or have children will be penalized by paying inheritance taxes upon the decedent’s death.

All of this can add up to large payments, but it may be possible to mitigate some of the cost with the right planning. As an attorney, you should have a thorough understanding of how the tax can impact your clients, as well as how to plan for an estate which may not incur federal tax but will incur New Jersey inheritance tax.

Join us to learn essential strategies, planning guides and drafting tips you need to know so that you can best deal with planning, estate administration and inheritance tax in your practice.

Topics include:

• Estate planning in New Jersey;
• To gift or not to gift;
  • Identifying key issues
  • Special considerations
    • Special needs beneficiaries
    • Second marriages
    • Compromised heirs
    • Unmarried couples
• Crash course in estate administration – from procedures to technicalities;
  • Filings
  • Elective share
  • Disclaimers, federal and New Jersey
  • Who bears costs/taxes
  • Quelling conflicts
  • Income tax filings/issues
  • Minimum distributions from retirement accounts
• How New Jersey taxation varies from federal taxation;
• Reporting idiosyncrasies;
• Tax lien conundrum;
• Who absorbs which tax?;
• Amounts reported vs. amounts distributed;
• Minimizing tax examination exposure;
• Compromising inheritance tax….and more!