_irs-quietly-changes-the-rule-on-how-your-childrens-inheritance-will-be-taxed.jpg "IRS Quietly Changes The Rule On How Your Children’s Inheritance Will Be Taxed from line 31220 tax return Video Screenshot Preview")
GalleryPlay Video:
(Note: The default playback of the video is HD VERSION. If your browser is buffering the video slowly, please play the REGULAR MP4 VERSION or Open The Video below for better experience. Thank you!)
⏲ Duration: 1:29
👁 View: 7.4M times
✓ Published: 03-May-2024
👁 View: 7.4M times
✓ Published: 03-May-2024
Description:
The IRS issued Revenue Ruling 2023-2, which had a substantial impact on estate planning, particularly where an irrevocable trust is involved. In the last decade or so, more families have begun utilizing irrevocable trusts to protect their assets from spend-down in order to qualify for government benefits, such as Medicaid and VA Aid and Attendance.<br/><br/>Prior to the issuance of this ruling, it was unclear whether assets passing to beneficiaries through an irrevocable trust would receive a step-up in basis, thereby eliminating any capital gains taxes that would otherwise be owed. Historically, assets that are disposed of during an individual’s lifetime are subject to capital gains taxes on the increase in value of that asset over time. The amount of capital gains owed is determined largely by the difference between the value at the time of purchase and the value at the time of transfer.
The IRS issued Revenue Ruling 2023-2, which had a substantial impact on estate planning, particularly where an irrevocable trust is involved. In the last decade or so, more families have begun utilizing irrevocable trusts to protect their assets from spend-down in order to qualify for government benefits, such as Medicaid and VA Aid and Attendance.<br/><br/>Prior to the issuance of this ruling, it was unclear whether assets passing to beneficiaries through an irrevocable trust would receive a step-up in basis, thereby eliminating any capital gains taxes that would otherwise be owed. Historically, assets that are disposed of during an individual’s lifetime are subject to capital gains taxes on the increase in value of that asset over time. The amount of capital gains owed is determined largely by the difference between the value at the time of purchase and the value at the time of transfer.
Share with your friends:
Whatsapp | Viber | Telegram | Line | SMS
Email | Twitter | Reddit | Tumblr | Pinterest
Related Videos
_irs-form-7202-line-by-line-instructions-2023-sick-leave-and-family-leave-tax-credit-taxes-s2e50.webp "The Awesome S'witty Kiwi Show")
⏲ 20 minutes 1 second 👁 22.1K
_claim-up-to-3632220-in-free-money-with-self-employed-tax-credits.webp "Melvin Crawley")
_carvana-reports-stellar-q1-results-as-high-interest-rates-push-buyers-to-the-used-car-market-shares-soar-30.webp "Carvana shares soared over 30% in after-hours trading after reporting first-quarter revenue of more than a billion, beating analyst estimates. The company forecast a sequential rise in adjusted core profit and retail unit sales growth, surprising analysts who expected a sales decline. Adjusted earnings before interest, tax, depreciation, and amortization were more than $200 million, exceeding estimates. Carvana's inventory of unsold used vehicles on dealer lots rose 9% from a year ago. High interest rates have pushed some consumers to the used car market for better deals than new vehicles.")
⏲ 0:35 👁 5.1M
_the-tax-revolt-returns.webp "Wall Street Journal Opinion")
_irs-form-7202-line-by-line-instructions-2023-sick-leave-and-family-leave-tax-credit-taxes-s2e50.jpg)
_claim-up-to-3632220-in-free-money-with-self-employed-tax-credits.jpg)
_carvana-reports-stellar-q1-results-as-high-interest-rates-push-buyers-to-the-used-car-market-shares-soar-30.jpg)
_the-tax-revolt-returns.jpg)
![[+]](/images/menu.gif){kind=small}