How can I legally avoid state estate taxes?

How can I legally avoid state estate taxes?

There are several strategies to legally minimize or avoid state estate taxes, such as gifting assets, establishing trusts, and taking advantage of exemptions. Would you like to explore any specific strategy?

What are the benefits of establishing a trust?

Establishing a trust can help you manage your assets during your lifetime and ensure they are distributed according to your wishes after your death. It can also provide privacy and potentially reduce estate taxes.

Are there specific types of trusts that are better for tax avoidance?

Yes, irrevocable trusts, such as irrevocable life insurance trusts (ILITs) and charitable remainder trusts (CRTs), can be effective for tax avoidance. They remove assets from your taxable estate.

What are the limits on gifting assets to avoid taxes?

Currently, you can gift up to $17,000 per recipient per year without incurring gift taxes. However, larger gifts may require filing a gift tax return and could affect your lifetime estate tax exemption.

Can you recommend a good estate planning attorney?

I can't recommend specific attorneys, but I suggest looking for estate planning attorneys with good reviews and expertise in tax law in your area.