Asset Valuation Attorney in Jacksonville, Florida
Owenby Law, P.A. Can Help You Approach Probate Strategically
At Owenby Law, P.A., our Jacksonville probate attorneys work with executors to
minimize the tax liability of estates in northern Florida in a strategic manner. When an individual
dies, his or her estate goes into probate. During this process, the probate
assets are gathered and appraised, creditors are paid what is due to them,
and the IRS receives
probate taxes on the net value. All of this must occur before the heirs can collect
their portion of their inheritance. Naturally, how the estate's assets
are valued plays a significant role in the amount that will be paid to
To learn more about mitigating estate tax liability,
call (904) 770-3141 for a free review.
Using Alternate Dates During Asset Valuation
At Owenby Law, P.A., we encourage all of our clients to develop comprehensive
estate plans to assist them in reducing the tax liabilities of their estates. However,
even after the principle of an estate passes away, it is possible to reduce
the net value of their assets by using an alternate date of death. The
IRS allows executors to choose a date within six months after the date
of the actual death for the purpose of asset valuation.
This can be a useful tool when the value of certain assets is:
- In decline, such as real estate in a falling housing market.
- Of a volatile nature, like shares of a stock.
For instance, consider a principle who owns a significant portion of stock
shares in a company. At the time of death, the aggregate value of the
stock is $1,000,000, but a few months later, the stock is performing poorly
and the aggregate value drops to $500,000. For the purpose of valuation,
the lower number is better because taxes are paid on half of the amount
that they would be if the actual date of the principle's death were used.
Owenby Law, P.A.: Seeking Out All the Advantages on Your Behalf
Not every asset class is as easy to value as stock shares, and the values
of two assets can move in opposite directions, but using the alternate
date of death provides some flexibility to probate lawyers as they attempt
to reduce the amount of taxes that are paid on an estate. If you are named as the
executor of an estate, you have the moral and legal obligation to act in the best interests
of the heirs. To accomplish this, you should hire our experienced Jacksonville
probate lawyers at Owenby Law, P.A. to seek out any and all advantages
with regard to estate tax liability.
Call our office today for our step-by-step guidance on all probate-related matters.