Wealth management is often a complicated subject full of positive and negative risks. It takes patience and skill to successfully build a fortune and keep it, while it takes additional help in many cases to properly transfer assets when a great and productive life comes to a close.
Estate planning has more aspects that require attention for larger estates, as bequests are taxed on a sliding scale just like other income. It is often a good idea to retain legal representation for estate planning in order to ensure all these aspects are handled.
When does the state of Connecticut levy a tax on estates?
Estates including property, assets and monies in total excess of $2 million are taxed by Hartford. Taxes are applied to the entire value of the estate, including the first $2 million that forces the requirement.
Who collects estate taxes?
The Connecticut Department of Revenue Services collects estate taxes for the state government, while the Internal Revenue Service levies federal taxes. Forms must be filed for each estate and both federal and state taxes.
When are taxes due on estates that require tax?
Most estate taxes are due within nine months of the death of the estate’s creator. Extensions may be requested from the Department of Revenue Services in some circumstances.
What if an estate does not exceed $2 million?
No estate or gift taxes are applied to estates below $2 million. A different form is required for nontaxable estates by the Department of Revenue Services and shared with the Connecticut probate court handling the estate.
Source: The Balance, “Learn About Connecticut Estate Tax Laws,” Julie Garber, accessed May 11, 2018