PA Case Tells Us To Review Tax Clause To Insure that the Correct Party Pays the Inheritance Tax on the assets In Your Estate. In Re Estate Of Thomas P. Allen, 2008 PA Super 260 Atlantic: 960 A.2d 470 the decedent had a will and the will contained a Tax Clause intended to determine whether the estate or each individual beneficiary would pay related estate or inheritance taxes. However, the Tax Clause was poorly drafted and deemed “ambiguous.” Therefore, the Court chose to rely on PA statutory law 72 P.S. § 9144(f) which requires each beneficiary of both probate and non probate assets to individually pay the tax on what they inherit. This statutory provision is frequently contrary to the testator’s intent and should not be relied on. This case further demonstrates the importance of every clause in your will and, in particular, the need to review and revise documents with experienced legal counsel. Experienced counsel will help insure that your wishes are carried out.
Please feel free to contact Douglas L. Kaune, Esq. to discuss your particular Estate Planning or Probate matter to determine the appropriate planning for you and your family.