What happens if I am not able to pay Estate Tax?
816780
If your father died in 2005 the estate will be exempt for the first 2 million dollars.  You will need to file an estate return which normally requires an attorney and a CPA because they are rather complicated.  Not filing the return will surely complicate things.  If there are taxes due and not liquid assets to make those payment from the estate the estate will need to liquidate some of the assets.  In plain language that means sell some of the property to pay the tax.  The estate can sell it to you or anybody.  If you do nothing the government will take what they think is due.  Generally that is a great deal more than if you file the proper return in a timely manner.
494300
His estate is responsible for any bills. If he has no estate then the hospital is stuck with the loss.
205771
Yes. Talk to a probate lawyer right now!
832594
If it is a revocable trust it will be subject to estate tax of the grantor of the trust.\nIf it an irrevocable trust generally not. It would depend on who the trustee is and the powers of the beneficiary.\nIf it is a qualified personal residence trust it would be subject to tax if the grantor dies before the end of the trust term
68013
That's not an estate tax youre referring to - its an inheritance tax. As such, its a state law question, and you need to tell me the state.
537395
Generally speaking, you do not pay taxes on money you inherit - in fact, you don't even have to declare this money on your income tax return.\n\nHOWEVER...\n\nAny tax that is due on the money that is left behind by a decedent must be paid by the decedent's estates before the money is distributed. \n\nUnless you're talking about a ton of money, the government pretty much stays away - for the 2006 tax year, each taxpapyer is allowed an estate tax exemption on the first $2 million of the estate. If your mother's estate wasn't this large, chances are you're not going to be paying estate taxes.\n\nThe rules change somewhat if you're inheriting an IRA - and depend on whether the IRA was funded with before tax or after tax dollars. Roth IRAs are funded with after tax dollars - meaning that the person who funded the account had already paid taxes on the money that was deposited - so you'll never be taxed again when the Roth is cashed out. Traditional IRAs are funded with pre-tax money - you get to set that aside from your paycheck and Uncle Sam taxes only the remainder of your salary. Don't worry - they get theirs in the end - taxes are due on any traditional IRA at the time of withdrawal.\n\nAnother big caution - you would pay taxes on any income generated by your inheritance. For example, if your rich uncle left you a portfolio of stocks and bonds - you'd start paying taxes on any interest or dividends that accrued once those instruments were in your hands.\n\nDefinitely see a tax professional. This is one of those situations you don't want to mess up!
60887
Just the fact that the house was put into a trust for you before your aunt's death doesn't automatically mean that you received it before your aunt died.\n\nIt's possible that your aunt put the house into a revocable living trust with herself as both grantor and trustee.  In that case, you would receive the house when she died and you would receive it with a value based on it's value when you received it.\n\nI suspect you will have to pay taxes on any money you made based on that value upon your aunt's death, if the house was sold at a higher price, since you never lived in the home as your own.\n\nI would suggest you see a CPA or tax attorney and bring a copy of the trust document, home appraisal done upon your aunt's death and the home sale paperwork so it can be determined for sure what your situation really is and what you must do concerning the IRS.
903762
No, it is not legal. It is against the law to not pay taxes on inheritance money. That is why it is better ,if you know that you are dying , and don't want your family stuck with the taxes to give it to them ahead of time.
45824
If you mean estate tax, it's based on the value of the decedent's estate on the date of death.
268081
u just pay there town for there taxes for there house. check with ur tranasstion lawyer
1125116
no.....\nI can tell ya I have seen some other issues here if its not documented right. you can't sale the house or get loan unless if you all agrees. What if someone got sick, mentally disabled, or missing and family  needs money?\n\nBesides house, U might have other personal properties, car, bank balance, investments, 401K, life insurance(which generally has named beneficiary)\nI think u need to consult a lawyer in your state. it will cost u few hundred $$.\n\n.... just came something in mind. By doing this you are giving away control of your wealth to them. And may be for IRS it consider as gift and it may be subject to tax.
72700
You'll have state laws wherever you live, and it will have to be settled through probate within a year of her death (not settled within a year, but go to probate before the year is up).  Other than IRS debts you can usually get out of paying any bills at all if you want to.  If it was a block community grant that helped her out? well, you decide.  But if there is any kind of lien on her house that would have to be settled.  Probate gets you through all of this and will tell you what to do but you should, in no way, end up owing any money to anyone out of your pocket.  Also, don't pay any bills now even if you have her money, just notify debtors of her death, you may need to send a death certificate to them and they will want one Without cause of death indicated, and they'll send the final bill.
685846
I believe you have to pay on any inheritance you receive.\n\nHere's a website that explains it and also has external links for more info:  http://www.answers.com/Inheritance%20Tax
239198
Tax credit, the exemption equivalent, and the tax\nHowever, the law then provides for a credit against the tentative tax. The credit may be thought of as providing, in effect, for an "exemption equivalent" or exempted value with respect to the value of the property. For a person dying during 2005, an estate with a value less than $1,500,000 would not pay a federal estate tax and most likely would not have to file a federal estate tax return. The applicable exclusion amount increases to $2,000,000 for decedents dying in the years 2006, 2007 and 2008. The amount increases to $3,500,000 for 2009. According to the Econonic Growth and Tax Relief Reconciliation Act of 2001, the federal estate tax disappears for the year 2010, but the tax returns in 2011 at the 2001 level.  There are other deductions such as funeral expenses.\n\nSo it depends on how much he has and when he dies before you even get to that level.\n\nGift tax exception is $11,000 so basically he could give away $10,999.99 each year to each of you tax free.  The money could go into bonds for the children and then into Roth accounts when they turn 18.  All of you could open Roths.
561307
It is excluded, but the estate itself may have to pay taxes if it is over the IRS limit. For 2006, the estate tax exclusion is $2 million.  It was $1.5 million in 2005.\n\nAny income the estate had would be taxed at the estate level.
220860
For sure, if you don't have enough money to pay the bills and you're going into debt, you might be putting too much money in your 401(k).  Likewise, if you're not saving enough for your children's education, you might want to limit your contributions and consider an Education IRA or a 529 plan, if you haven't already.\n\nThe only other situation that I can think of that might (and I emphasize might) warrant reducing your 401(k) contribution is looking at the inheritance tax situation of your future heirs.  If the estate is large enough, they will not only have to pay inheritance taxes on the estate, but also income tax on the 401(k) (at least that's how it was few years ago; I doubt the law has changed).  If the only liquid investment in the estate is the 401(k), the heirs might not have enough to pay all the taxes, forcing the sale of real estate, which neither you nor your heirs might want.  If this is your case, I'd recommend contacting a tax specialist.
1007956
Get to an elder law attorney TODAY to make sure that you can take this money in such a way that it is not reachable by Medicaid liens.  You may have to disclaim the inheritance (and you should if a Medicaid lien threatens to take a large portion of it).\n\nAnd, if a relative is on Medicaid, please, please see an elder law attorney to write your will in such a way that it doesn't hurt them.