Good morning! Here is the latest news and events.Read More
Are you a member of a family-owned business entity such as a corporation, limited partnership, or LLC? If so, you need to be aware of the proposed change in U.S. treasury regulations to Section 2704 of the IRS Code, which could become final by the end of 2016. If finalized, the regulations will significantly reduce the availability of valuation discounting on certain intra-family transfers of interests in family-owned entities.Read More
Note: This blog does not substitute for legal advice.
The recent session of the Maryland General Assembly has come to a close and we will start to recap how some of the passed legislation will impact Maryland’s agricultural community. Our first look back is at the recoupling of the state’s estate tax with the federal estate tax over the next 5 years. Currently, Maryland’s estate tax exemption is set at $1 million for non-agricultural property and $5 million for agricultural property meeting certain criteria (See Estate Planning for Farm Families for a full description of the ag property exemption). In Maryland this means that the first $1 million in your estate passes tax free to your heirs and anything over the $1 million is taxed at 16 percent. Currently, the federal estate tax exemption is set at $5.34million and this exemption is pegged to inflation so it will increase each year depending on the rate of inflation. As you can see, the federal estate tax exemption is much higher and will gradually increase over time.Read More