Tax laws in Connecticut can be difficult to understand. Tax law is complex and is often changing. Laws regarding estate taxes, for example, are prone to change and do not always make sense. If you have questions about estate taxes, a good person to talk to in order to get answers would be an experienced tax law attorney.
Maybe you are in the estate planning process and just want to make sure your assets make it to your beneficiaries rather than go to Uncle Sam. Maybe you recently lost a loved one and want to know how much of his or her estate will be lost in taxes. No matter what side of the fence you find yourself on, the goal of wanting to keep assets in the family rather than going to the government is understandable.
A few things to know about current estate tax laws in Connecticut: Estate taxes are collected on estates valued at a certain amount — well over $2 million. There is also a cap on estate taxes, meaning the state can only collect taxes on estates worth so much — the new cap is set at $15 million. This does not mean that tax filings can be skipped on non-taxable estates. A tax return must be filed for every estate, even if taxes are not owed.
Estate tax rates are subject to change. Currently, they fall between roughly 7 and 12 percent. The larger the estate, the higher the tax rate is going to be.
There may be ways to avoid paying more than is necessary in estate taxes. An experienced tax law attorney will have the ability to review the finer details of your case, answer any questions you might have and offer suggestions on how to approach your tax situation. To learn more about how an attorney can be of assistance with estate taxes, please visit our firm’s website for more information.