Wealth Preservation, Trusts and Estates

During an estate administration process there are probate and non-probate assets. Non-probate assets typically transfer with ease to the surviving joint owner or named beneficiary. Now there may be an unexpected additional requirement that can slow the transfer process. Investment accounts such as stock, bond or mutual fund accounts owned through an adviser or investment house which have beneficiaries designated or are designated as TOD (Transfer on Death) or POD (Payable on Death) require an Inheritance Tax Waiver before they can be transferred to the intended recipient.
This requirement will potentially delay the release of these not probate assets and is presumably intended to help PA and other states to insure they receive the appropriate inheritance tax payment. Read more here about the Inheritance Tax Waiver by clicking here at the PA Department Of Revenue website. Be aware of this requirement so that the proper paperwork can be provided in order to transfer both qualified and non-qualified investment accounts.

For questions or to review other Estate Administration and Estate Planning issues please contact Douglas Kaune, Esq. at 610 933 8069 or at Dkaune@utbf.com.
Doug is a Partner with Unruh, Turner, Burke & Frees, P.C. which is a full service law firm with offices located in Malvern, Phoenixville and West Chester, PA and also serving clients in the counties of Chester, Montgomery, Delaware, Bucks, Berks and Philadelphia.

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No Federal Estate Tax Answers forthcoming this Summer. By: Douglas L. Kaune, Esq.
Congress is entering its August recess and there has been no progress made on the topic of Estate

Tax Reform. Analysts are clearly thinking that the Estate Tax issue will not be addressed until the Fall or later. Interestingly, everyone, including members of Congress, attorneys and financial advisers, agrees that it is unfair to the American tax payer to be without a solid tax law upon which to base their estate planning. Despite this universal recognition, the lawmakers are not rushing to reach a resolution. This Investment News article is helpful in outlining the Congressional time line leading to the end of the year.

Contact Douglas L. Kaune at 610-933 8069 or dkaune@utbf.com to review your estate plan in light of the changing federal estate tax landscape.
Doug is a Partner with Unruh, Turner, Burke & Frees, P.C. which is a full service law firm with offices located in Malvern, Phoenixville and West Chester and also serving Philadelphia and other towns in Chester County, Montgomery County, Delaware County, Bucks County, Berks County, Philadelphia County Pennsylvania (PA).

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Some people are very skilled at making money and protecting what they make from taxes during their lifetimes. Now, some wealthy individuals can even manage to make/save money just based on their dates of death. George Steinbrenner, an amazing businessman and majority owner of the New York

Yankees, is the most iconic symbol of this death tax lottery system that Congress has allowed to come to fruition. Steinbrenner died on July 13th, 2010 and by doing so, managed to save his heirs an estimated $500 million in federal estate tax. Yes, that is One-Half of a BILLION dollars of savings because he did not die in 2009 (45% Highest Marginal Tax Rate) or 2011 (Expected 55% Highest Marginal Tax Rate). A HALF OF A BILLION DOLLARS is a mind numbing number and one that should resonate as we await a Congressional decision (or lack of decision) on what will happen to the federal estate tax in 2011 and beyond. Read this NY Post article outlining the federal estate tax savings for the Steinbrenner Family.

For those baseball fans reading this post, the Steinbrenner family will likely only retain its ownership interest in the Yankees because of the immaculate timing George Steinbrenner had even up to his date of death. Knowing Steinbrenner’s love for the Yankees, it should not be surprising that this would be his final act to preserve the family ownership.

By: DOUGLAS L. KAUNE, Esq. Please contact Doug at 610-933-8069 or dkaune@utbf.com. Doug is a Partner with the Law Firm of Unruh, Turner, Burke and Frees, P.C. Office locations in Phoenixville, Malvern and West Chester, PA and serving Chester, Montgomery, Delaware, Philadelphia, Bucks and Berks Counties in Pennsylvania.

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