The Wilsey Law Firm Blog

Estate Tax in Limbo

2010-02-26T14:12:00.001-08:00

Here’s a case example that illustrates the confusion regarding the 2010 unlimited estate tax exemption.I’m representing a client who is a beneficiary of an estate worth in excess of $100,000,000. My client will receive a portion of the estate. The problem is estate taxes, or more precisely, lack of estate taxes…maybe. Let me explain.In 2001, President Bush signed into law Internal Revenue Code

Legal Zoom is Sued for Unauthorized Practice of Law

2010-02-25T08:55:00.000-08:00

Apparently, the company behind the website www.legalzoom.com, a provider of user directed legal forms, has been the subject of a potential class action suit in Missouri for the unauthorized practice of law. Read all about it right here in an American Bar Association article.My feelings on www.legalzoom.com and related companies are mixed. On one hand, clearly the documents provided are not as

4 Keys to Maximizing your $13,000 Annual Gift Tax Exclusion

2009-12-29T14:11:00.000-08:00

Here's a link to a recent article I wrote on how to best use your $13,000 Annual Gift Tax Exemption, which is the ability to give up to $13,000 to as many different people as you'd like.Annual Exclusion

Estate Tax Uncertainty

2009-12-21T10:39:00.000-08:00

Here's a recent article by the Wall Street Journal that illustrates the uncertainty surrounding the Estate Tax Exemption. Under current law, there is no estate tax in 2010, and then the Estate Tax Exemption goes down to $1,000,000 per person in 2011.In reality, all indications are that Congress should extend the current $3,500,000 per person exemption sometime next year. So the obvious question

Spousal Gifting Trust is a Good Idea Now that Estate Tax is Here to Stay

2009-12-18T08:34:00.000-08:00

There has been recent congressional action on the estate tax. The House of Representatives voted earlier this month to extend the current $3,500,000 estate tax exemption on a permanent basis. This means that the estate tax will not disappear next year, as originally planned. However, this measure must still be approved by the Senate and signed into law by President Obama. It's not clear that this

Annual Gifting

2009-11-19T17:06:00.001-08:00

Here's a presentation I recently gave on the Annual Gift Tax ExclusionAnnual GiftingView more presentations from wardwilsey.

State of the Estate Tax

2009-10-27T12:58:00.000-07:00

Here's an interesting chart from a New York Times blog that shows the percentage of estates that have been subject to estate taxes since it's formal inception in 1934. Actually, today is a relative all-time low, due to the current $3,500,000 estate tax exemption ($2,000,000next year).However, if the Exemption goes back down to $1,000,000 in 2011, you could see the amount of estate subject to

Forged Wills, Inheritances to Lawyers, Jail!

2009-10-16T08:14:00.001-07:00

Something a lot of people ask me about is whether my estate planning clients ever attempt to leave me money. The answer is yes, and that seems to fascinate folks at cocktail parties. I've never actually thought of accepting, but occasionally clients (this has been exclusively widows) have offered to include me in their estate plan. I've been offered (I guess that's the term I'd use) up to

Estate Tax Update

2009-09-21T15:22:00.001-07:00

It is pretty clear that the estate tax is not going away in 2010. However, the exact amount of the estate tax exclusion and the estate tax rate are still very much and issue that Congress must deal with. Here is a recent Wall Street Journal on the topic:WSJ ARTICLE

GSTT Planning is possibly going to be a "listed" transaction

2009-09-12T11:22:00.000-07:00

A recent IRS proposal to make all Generation Skipping Transfer Tax planning a "listed" transaction, meaning that it would have to be reported to the IRS.Generation Skipping Taxes are taxes that generally can occur on transfers made from a person to their grandchildren and future generations. Each person has the ability to exempt up to $3,500,000 of their assets from the Generation Skipping

Not Exactly Tit-for-Tat

2009-09-10T18:13:00.000-07:00

Here's a situation in Connecticut where politicians are reducing the estate tax, while at the same time bumping up the state income tax.ARTICLEDoes this foreshadow the way estate and income taxes will go on a national level in the near future? Only time will tell.

The Billionaire With No Will

2009-09-10T17:54:00.001-07:00

Here's a fascinating story about a Wang Yung-ching, a New Jersey and Taiwan based billionaire with a wife, nine children by mistresses, and no will.If there was ever a recipe for an estate planning disaster this is it. Here's a link to the story by Robert Frank of the Wall Street Journal: ARTICLEAn interesting question is to whether it would have even mattered if Mr. Yung-ching had prepared a

Roth 401K to Roth IRA Conversions

2009-09-09T09:09:00.001-07:00

I frequently discuss with clients the possibility of converting their IRA (and other qualified retirement plans) to a Roth IRA next year, when the income limitations for doing this technique disappear.Here's an interesting article about a different type of conversion, from a Roth 401K to a Roth IRA. This is a real interesting planning possibility I hadn't previously considered.ARTICLE

New Article on Beneficiary Protection Trust

2009-08-28T09:37:00.000-07:00

Here's an article I recently wrote on my Beneficiary Protection Trust. This trust is designed to receive your children (and grandchildren's) inheritance from your Revocable Living Trust at your death. The result is that your family's hard earned wealth will be protected against creditors, divorce, and the government. BENEFICIARY PROTECTION TRUST ARTICLE

Marilyn Monroe's Crypt...Estate Tax Consequences???

2009-08-28T09:31:00.000-07:00

Here's an example of how my boring attorney mind works. I saw a news clip last night about a lady selling her husband's crypt, which is right above Marilyn Monroes, on ebay. Here's an article to get you up to date: ARTICLEInstead of reflecting on the sheer creepyness of this sale, I immediately thought as to the interesting estate tax issues. Who would think of a crypt as an asset. Should

Michael Jackson's Insurance Policy

2009-08-10T07:57:00.000-07:00

There's an interesting new take on the large life insurance policy, which purportedly was taken out by AEG to cover the event of Michael Jackson's death making him unable to perform his series of 50 concerts in London.Apparently, there was a clause in the insurance relieving the insurer of liability if Mr. Jackson dies as the result of the "taking of illicit drugs". Here's a news article on the

2009-08-05T14:02:00.000-07:00

Here's a recent presentation I gave on Asset Protection for Business Owners:Asset Protection For Business OwnersView more presentations from wardwilsey.

Charitable Planning

2009-08-05T13:53:00.000-07:00

Here's a recent presentation I gave on Charitable Estate Planning.Charitable PlanningView more presentations from wardwilsey.

Basic Estate Taxes

2009-08-05T13:52:00.000-07:00

Here's a recent presentation I gave on basic estate tax law:Basic Estate TaxView more presentations from wardwilsey.

Asset Protection for IRAs and 401Ks

2009-08-05T11:43:00.000-07:00

I have recently written an article designed to inform you about the asset protection afforded by various qualified retirement plans, such as IRAs and 401Ks. As always, this is not legal advice, and if you have any questions you should call your attorney. Asset Protection for IRAs and 401Ks

Steve McNair's Estate Tax Problem

2009-07-22T09:06:00.000-07:00

The tragedy involving the apparent murder of former Tennessee Titans quarterback Steve McNair is heartbreaking for a variety of reasons. As a fan of football, and a huge fan of Mr. McNair I was deeply saddened to learn of his extra-marital dealings, which apparently lead to his death. As an estate planning attorney, I'm saddened at the plight of his wife, Mechelle, and Mr. McNair's children.Mr.

Who get's your email account???

2009-07-17T07:47:00.000-07:00

With our ever expanding cyber-universe an interesting development in terms of estate planning is the question of how to allow access to our email and social networking accounts after our deaths. Here's an interesting article on the subject. I think it would probably be a good idea for me to add a specific clause in my clients documents allowing access. The quandary is under what legal authority?

2009-07-17T07:39:00.000-07:00

Here's an interesting article about the controversy surrounding allowing advisors (and estate planning attorneys) to patent financial and tax strategies. WSJ ArticleNow I've just got to come up with a catchy name for my estate planning techniques, and start firing off patent applications!

2009-07-15T09:14:00.001-07:00

This article, written by Winnipeg attorney John E. S. Poyser, brings up a point I'd never considered. He proposes that Dynasty Trusts (or Perpetual Trusts, as he calls them) have another important purpose, namely, making sure assets exist for those who wish to cryogenically freeze themselves!I'm not so sure about the medical ethics of cryogenics, but this sure is an interesting article, which

Astor Case Juror Speaks Out

2009-07-08T09:07:00.000-07:00

It would be easy for me to post about "Lessons from Michael Jackson's Estate Plan" or something to that effect right now. However, what interests me more about that case the procedural aspects within the Probate Court. I will keep blog readers updated about the Probate Case as new developments arise.Another famous case going on right now involves Anthony D. Marshall, the son of the deceased