We bring an extensive understanding of the labyrinthine and ever-changing tax codes, years of successful courtroom experience at both the trial and appellate levels, and a reputation among revenue officials as attorneys with integrity and sound judgment. These realities enhance our ability either to forestall litigation through mediation or prevail in the courtroom.
Estate and Corporate Tax Planning and Administration for Individuals and Businesses
Our attorneys advise clients on the tax consequences of compensation packages and shareholders agreements, and advise impending retirees on estate, inheritance and gift tax issues. Our attorneys assist with the transfer of assets in order to minimize tax repercussions.
- Estate taxes – Both federal estate taxes and state estate taxes may be applicable in New Jersey. (This is not the case in Delaware, Nevada and many other states.)
- Inheritance taxes – Currently, New Jersey and Maryland are the only states that collect both estate taxes and state inheritance taxes. However, any assets that pass to the deceased’s spouse or descendants may be exempt.
- Gift taxes – Gifts made by one individual to another may be taxable, if they exceed the federal annual exclusion amount. However, the federal tax code also provides a lifetime gift tax exemption ($11,700,000 in 2021) that can often offset those taxable gifts.
Legal Strategies for Avoiding Transfer Taxes
Many sophisticated strategies exist for making lifetime gifts to avoid transfer taxes. These strategies include the use of:
- Tax benefits such as the annual exclusion and the gift, estate and generation-skipping tax exclusions
- Valuation techniques such as qualified personal residence trusts (QPRT’s), grantor retained annuity trusts (GRAT’s) and family limited partnerships (FLP’s)
- Charitable gifts
Integrations with Other Legal Issues
Because there are tax ramifications to issues as disparate as divorce actions (nearly 50 percent of criminal tax fraud cases are triggered by matrimonial suits), property tax revaluations and real estate transactions, our lawyers frequently work with department chairs across many specialties. These cooperative, interactive in-house resources provide our clients with versatile, effective, seamless legal protection.
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