People spend their entire lives working hard to provide for their families. They spend their lives building and accumulating wealth. Eventually, when someone dies, they want to pass as much of this wealth to their heirs as possible. Sadly, there is something called the estate tax that might ruin this prospect.
What is the Estate Tax?
For those who might not know, the estate tax is a tax that is applied to someone’s estate after they die. There is a limit above which every dollar is taxed at 50 percent. A wide variety of items are included in this estate tax. Some of the most common examples include bank accounts, property, jewelry, investment accounts, and more. Because of the high value of this estate tax, people need to plan appropriately. Otherwise, 50 percent of the estate can be gone in the form of taxes.
Proper Estate Planning
In order to prevent the estate tax from taking a sizeable chunk out of someone’s estate, it is critical to rely on estate planning North Charleston SC. With estate planning services, families are able to plan for the future by using every tool at their disposal to avoid the estate tax. While it might not be possible to shield everything, there is always something people can do. In the eyes of many, every dollar in the estate has already been taxed in the form of income tax, capital gains taxes, or other mechanisms. Nobody should feel like they are being taxed twice when the estate tax rolls around.
Protect the Wealth of the Estate
When people die, they should be able to give their money away. Sadly, the estate tax might prevent this from happening. With proper planning, people can make sure their wealth gets passed down to their heirs instead of the government.