Pittman Law Office Newsflash
Ready or not, we are entering another presidential election season.
For a lot of folks, the economy is top of mind when it comes to evaluating the candidates. The tax policies of the next administration could have a major impact on your personal wealth and estate planning strategies. In the area of tax policy, the 2024 election is set to leave its mark.
The Tax Cuts and Jobs Act of 2017 (TCJA) is expiring at the end of 2025, and with its expiration will come the undoing of its individual and other tax provisions, including lower personal income tax rates, higher standard deductions, increased estate tax exemptions, and the expensing of business investments.
Many tax experts have said that major new tax legislation to replace the TCJA is all but assured from the incoming Congress. What the candidates promise on the campaign trail over the next few months could go a long way toward setting tax policy priorities.
There is historical precedent for tax policy changes following a candidate’s promises made during campaign season. Instead of candidates using the term “estate planning” in their speeches, they frequently use tax policy terms when referring to estate planning. Here are some key policy terms to pay attention to from an estate planning perspective:
- Capital gains tax: A tax on the profit earned from selling an asset (such as stocks or real estate)
- Estate tax: A tax on the transfer of property upon one’s death
- Gift tax: A tax on the transfer of property from one individual to another during their lifetime without receiving full value in return
- Income tax: A tax on the income of an individual or entity
- Tax credit: An amount that taxpayers can subtract from their total tax liability
- Tax deduction: A reduction in taxable income, potentially decreasing or eliminating tax liability
- Tax exemption: A monetary exclusion that reduces the amount of taxable income
- Trust income tax: A tax on the income generated by a trust.
As a reminder, Pittman Law Office is an estate planning firm, we are not tax professionals. This newsletter is not intended to be legal advice or tax advice. We are just providing you information for your benefit.
Upcoming Workshops
Funding Revocable Trust Workshop
This workshop is for current clients of Pittman Law Office that have Revocable Trusts.
Date & Time: Friday, October 11, 2024 at 11:30 am
Date & Time; Friday, November 8, 2024 at 11:00 am
Location: Pittman Law Office
RSVP to 352-399-6944 – Seating is limited to 10 people
Basic Estate Planning Workshop
This workshop is for potential clients of Pittman Law Office that want to learn more about Estate Planning and our firm.
Date & Time: Friday, September 13, 2024 at 10:00 am
Date & Time: Friday, September 20, 2024 at 10:00 am
Location: Pittman Law Office
RSVP: 352-399-6944 – Seating is limited to 10 people
Probate Corner…
We know an issue that is important to many of our clients is how to ensure that certain items of tangible personal property, such as jewelry, collectibles, or a vehicle, are given to a specific person after our client’s death. If you have a Pittman Law Estate Plan that includes a Last Will and Testament or a Revocable Trust, you were provided with a document titled “Personal Property Memorandum”. On this document, you can list any item of personal property and the person you want that item given to. You only have to fill out that Memorandum, date and sign it. There is a provision in your Last Will and Testament and/or Revocable Trust that makes the Memorandum enforceable. If Pittman Law did not prepare a Last Will and Testament or Revocable Trust for you, then you can still create a written list of the personal items you want to go to a certain person. Just make sure to sign and date the Memorandum/writing.
Please remember that it is not enough for you to verbally tell someone that you want them to have your engagement ring or your golf cart or your baseball card collection. Without providing the Memorandum, your personal property is included in your residuary estate and will be distributed to the beneficiaries you have listed in your Last Will and Testament and/or Revocable Trust. Your Personal Representative or Trustee will oversee the division of this personal property between the beneficiaries, or everything will be sold and the proceeds of from the sale of the personal property will be distributed to the beneficiaries named in your Last Will and Testament and/or Revocable Trust. The Personal Property Memorandum is a simple way to ensure that you are in control of even the smallest details of your estate.
My Neighbor Said…
If I don’t have a Revocable Trust and only have a Last Will and Testament, my estate will take years to settle and my beneficiaries will pay a lot of money to the government. Check out Attorney Audra Platt’s video for clarification on this topic.
| Here is a pic of Attorney Amy Pittman’s kids, Elle and Reed on their first day back to school. |
| Warren, Attorney Audra Platt’s oldest son turned five! He loves dinosaurs and airplanes. |
| Attorney Sydney Simmons and her daughter, Elle kicked off the new school year. |
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