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Estate Income Taxes

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NYDST5611

Junior Member
What is the name of your state? NJ
Any suggestions in finding an accountant to file estate taxes? Is there a particular type of accountant I should look for? Executor is in a different state. Estate tax, inheritance tax (to get a L9 tax waiver) & personal taxes for decedent have to be filed. I've gotten quotes of $1500 . . . sounds like a lot of money.
 


tranquility

Senior Member
Everything always depends on the complexity and the time involved. $1,500 is C-H-E-A-P for all but the simplest. Even then, it's not bad.
 

Dandy Don

Senior Member
What state are you wanting to hire in? Get quotes from more than one CPA or tax accountant who has experience witih estates.
 

NYDST5611

Junior Member
Filing in NJ. All the accts I talked to say they know what to do, but don't you think they'd all say that just to get the business? The 3 I talked to were all around $1500 depending. It's a fairly simple estate. My personal tax returns cost $135 to be done by an acct. So my thinking is the fee should be 3x that, maybe a little more. Maybe filing estate taxes is really that much more involved. We're just getting so hammered with fees/taxes/costs because we're class D(?) (neices/nephews). I think the state is getting at least as much as us; maybe more. Yeah, I know, that's why you do estate planning, but try telling that to a hard-headed 80 year old (I say that lovingly!). Do you think having a NY acct do the returns for a NJ estate will be a nightmare? I'm in litigation & am aware of how filing procedures, etc. vary from state to state so I guess filing tax returns would be the same which is why I reached out to a NJ acct. Honestly tho, I'd be so much more comfortable with a NY acct. You know the saying, you're not in Kansas anymore? Well, let me tell you I've had some different experiences in Jersey. Same fear tho, a NY acct is going to tell me, sure I can do it because who's going to turn business away? I'm afraid a NY acct also isn't going to know what's being bounced by the state as far as deductions go. (We have about $6k in renovation costs on the estate property.) I sure appreciate your input.
 

noname87

Member
Another option is to have the estate lawyer do the estate tax returns. For a simple estate, it is not that complicated. I was shocked at the cost that I was charged for the two estates I was involved with in NJ. Keep in mind that at $300 per hour, $1500 is only 5 hours of work. It sounds like you need to file a NJ Inheritance tax return and a NJ Estate tax return and possibly a Federal Estate Tax return. Overall $1500 could end up being cheap if not a low ball figure. Does that also include the final Federal and NJ (1041) income tax returns?
 

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