The phrase “it’s never too late” applies to many areas of life, such as changing your habits, your relationships, and your goals. So keep this phrase in mind in regards to protecting your assets and inheritances with proper planning for end-of-life taxes. Forbes recently addressed this matter in an article titled “Deathbed Tax Dodges: Take These Steps Now To Save Later,” identifying certain fundamental tax moves to make even at life’s end. The article highlights three basic steps: (1) ensure that your spouse has been granted your power of attorney, (2) create separate investment accounts for you and your spouse, and (3) remember the annually-renewing power of gifts to beneficiaries other than your spouse. The article describes how these steps work together to maximize your estate tax savings, as well as reduce the size of your estate subject to such taxes. To take full advantage of these steps, the advice and assistance of competent legal counsel should be retained. So remember, it’s never too late to start planning for the future!
Reference: Forbes (August 27, 2012) “Deathbed Tax Dodges: Take These Steps Now To Save Later”