Tax Tips for 2012

Already 2012, and tax time is coming up. This year, the IRS and many states are not mailing tax forms. They are expecting people to go onto their websites to print out forms and instructions. The Internal Revenue Service provides tips to make sure the tax-filing process goes smoothly: 1. Gather records: order the forms […]

IRS Guidance on Tax Returns and FBARs Filings

On December 7, 2011, the IRS issued guidance for dual citizens of the United States and a foreign country who failed to timely file United States federal income tax returns or Reports of Foreign Bank and Financial Accounts (FBARs). The guidance, FS-2011-13, is found at http://www.irs.gov/newsroom/article/0,,id=250788,00.html. Under FS-2011-13, dual citizens who fail to file U.S. […]

Federal Estate Tax

When drafting a trust, or planning for what happens to property after death, the taxpayer needs to be aware that all estates face tax issues. Federal and state laws must be considered. When studying federal laws, a taxpayer should pay attention to IRS administrative rulings. The estate tax is a federal tax due when an […]

Change of Domicile

An individual’s domicile is the state where the person resides or intends to return to. People change their state of domicile for many reasons. For instance, they want to be close to their children, they are looking for favorable climate, or they want a favorable tax structure. For state tax purposes, a domicile change is […]

Tax Legislation Updates

As tax season approaches, people are looking into decreasing federal estate tax. The November 23, 2011 deadline for the Joint Select Committee on Deficit Reduction (the “Super Committee”) to propose changes to the federal estate, gift and generation-skipping transfer (“GST”) tax passed with no change taken. Though, change can still happen with the introduction of […]