Assume that you are a married individual and you have aliving-trust with all your assets (home, investments, cashaccounts). Your spouse is both a trustee and beneficiary of thattrust. You also live in joint tenancy with right of survivorshipState where your death means your spouse takes ownership of allassets that are shown as joint tenancy. For example, if a bankaccount has both your names, the bank account transfers over toyour spouse without tax consequences. If the bank account is not inboth your names, it goes into the Estate. The same applies for realestate and other investments. The general rule would be that yourmajor assets would be under the name of the Trust, and all otherassets would be listed as joint tenancy. However, there are fewareas to consider: What are the tax benefits of moving assets to aliving or irrevocable trust? Do both types of trusts file a taxreturn, or taxable income and expenses "passed through" to you?FINAL QUESTION FOR EVERYONE What is the solution to our tax revenueshortages?? We have a tax system that tries to modify taxpayerbehavior and is constantly changing, but is not collecting enoughrevenue to cover expenditures. Some think corporations are payingtoo much, but they get the benefits of the US economy andprotection of our laws - and if they don't pay, then the individualtaxpayer has to pay. However, as we now know, the individualtaxpayer already carries the majority of the tax burden, and if thewealthiest don't pay their fair share, the lowest earners have topay. The bottom line is someone has to pay - the question is how tomake that equitable. Thoughts?
Assume that you are a married individual and you have aliving-trust with all your assets (home, investments, cashaccounts). Your spouse is both a trustee and beneficiary of thattrust. You also live in joint tenancy with right of survivorshipState where your death means your spouse takes ownership of allassets that are shown as joint tenancy. For example, if a bankaccount has both your names, the bank account transfers over toyour spouse without tax consequences. If the bank account is not inboth your names, it goes into the Estate. The same applies for realestate and other investments. The general rule would be that yourmajor assets would be under the name of the Trust, and all otherassets would be listed as joint tenancy. However, there are fewareas to consider: What are the tax benefits of moving assets to aliving or irrevocable trust? Do both types of trusts file a taxreturn, or taxable income and expenses "passed through" to you?FINAL QUESTION FOR EVERYONE What is the solution to our tax revenueshortages?? We have a tax system that tries to modify taxpayerbehavior and is constantly changing, but is not collecting enoughrevenue to cover expenditures. Some think corporations are payingtoo much, but they get the benefits of the US economy andprotection of our laws - and if they don't pay, then the individualtaxpayer has to pay. However, as we now know, the individualtaxpayer already carries the majority of the tax burden, and if thewealthiest don't pay their fair share, the lowest earners have topay. The bottom line is someone has to pay - the question is how tomake that equitable. Thoughts?
