The death of a loved one is a critical time for a family. In the least desirable emotional circumstances, a family member executor is expected to negotiate confusing and unfamiliar processes while balancing tax, creditor and fiduciary liability concerns. Piedmont Trusts & Estates’ involvement in estate administration varies widely among clients, working with clients’ budgets to handle as much, or as little, as is desirable. But in all cases, preserving family relationships is paramount. We counsel clients on how to complete this process while minimizing the possible sources of family discord.
Courts, Creditors and Distributions
Piedmont Trusts & Estates routinely assists clients in administering estates in Virginia and in the District of Columbia, and works with local counsel in the administration of estates in a variety of other jurisdictions, including states where clients may own real property.
A typical engagement may include petitioning the relevant court or courts to probate the decedent’s will, preparing required inventories and accounting, addressing issues that arise regarding a decedent’s will and any applicable trusts, responding to creditor’s claims, and advising on titling and estate or trust distributions.
Estate Tax Returns, Tax Planning and Audits
The various levels of tax planning involved in administering a decedent's estate are typically the most complex - and most financially valuable - aspects of an engagement.
Piedmont Trusts & Estates often prepares a decedent’s federal Estate, Gift and Generation Skipping Transfer Tax Return, due nine months after death for any estate exceeding $5.12 million (or $1 million in the District of Columbia). This return determines the decedent’s taxable estate and reflects a variety of other elections and allocations, including treatment of trust property passing to a surviving spouse and use of the decedent’s remaining generation skipping transfer tax exemption. But the process of preparing this return - or working with other client advisers to collaborate on this return - involves far more than completing the IRS form. Tax planning regarding asset valuations and tax elections to maximize the efficient use of all exemptions available, consideration of post mortem tax planning opportunities, including exercising powers of appointment or making disclaimers, and, for married persons, planning to minimize eventual estate and generation skipping tax at the death of the surviving spouse, can involve a series of difficult and interwoven considerations. We take the time to explain these issues and considerations to clients, listen to clients' goals and objectives, and advise clients to achieve desired results. Even for an estate of less than $5.12 million, an estate tax return is required in order for a surviving spouse to have the benefit of the first spouse's remaining estate tax exemption (commonly referred to as "portability" of the exemption). An estate tax return is due nine months after the decedent's death, with a state estate tax return also generally due at that time (the due dates can be extended for six months).
Piedmont Trusts & Estates also works with the estate's accountant to advise regarding income tax planning involving the funding of estate shares and trusts.
Piedmont Trusts & Estates represents clients before the IRS in estate and gift tax audits.
Piedmont Trusts & Estates routinely assists clients in administering estates in Virginia and in the District of Columbia, and works with local counsel in the administration of estates in a variety of other jurisdictions, including states where clients may own real property.
A typical engagement may include petitioning the relevant court or courts to probate the decedent’s will, preparing required inventories and accounting, addressing issues that arise regarding a decedent’s will and any applicable trusts, responding to creditor’s claims, and advising on titling and estate or trust distributions.
Estate Tax Returns, Tax Planning and Audits
The various levels of tax planning involved in administering a decedent's estate are typically the most complex - and most financially valuable - aspects of an engagement.
Piedmont Trusts & Estates often prepares a decedent’s federal Estate, Gift and Generation Skipping Transfer Tax Return, due nine months after death for any estate exceeding $5.12 million (or $1 million in the District of Columbia). This return determines the decedent’s taxable estate and reflects a variety of other elections and allocations, including treatment of trust property passing to a surviving spouse and use of the decedent’s remaining generation skipping transfer tax exemption. But the process of preparing this return - or working with other client advisers to collaborate on this return - involves far more than completing the IRS form. Tax planning regarding asset valuations and tax elections to maximize the efficient use of all exemptions available, consideration of post mortem tax planning opportunities, including exercising powers of appointment or making disclaimers, and, for married persons, planning to minimize eventual estate and generation skipping tax at the death of the surviving spouse, can involve a series of difficult and interwoven considerations. We take the time to explain these issues and considerations to clients, listen to clients' goals and objectives, and advise clients to achieve desired results. Even for an estate of less than $5.12 million, an estate tax return is required in order for a surviving spouse to have the benefit of the first spouse's remaining estate tax exemption (commonly referred to as "portability" of the exemption). An estate tax return is due nine months after the decedent's death, with a state estate tax return also generally due at that time (the due dates can be extended for six months).
Piedmont Trusts & Estates also works with the estate's accountant to advise regarding income tax planning involving the funding of estate shares and trusts.
Piedmont Trusts & Estates represents clients before the IRS in estate and gift tax audits.