New York
I have a general question about the lifetime gift exemption. I understand the rules, amounts etc. here is the scenario..
after death an estate is valued at 30 million (5 million cash and 25 million property)
the deceased has 5 million remaining in lifetime gift exemptions.... so she plans on giving that to her son
I understand that the estate will be taxed on the remaining 25 million...lets say the tax ends up being 10 million
Is the 5 million that the son is getting under the life time gift exemption (or in this case he was paid it after death) going to be used to pay the 10 million in taxes? Or does he get his 5 million first since it is an exemption?
Thanks!
I have a general question about the lifetime gift exemption. I understand the rules, amounts etc. here is the scenario..
after death an estate is valued at 30 million (5 million cash and 25 million property)
the deceased has 5 million remaining in lifetime gift exemptions.... so she plans on giving that to her son
I understand that the estate will be taxed on the remaining 25 million...lets say the tax ends up being 10 million
Is the 5 million that the son is getting under the life time gift exemption (or in this case he was paid it after death) going to be used to pay the 10 million in taxes? Or does he get his 5 million first since it is an exemption?
Thanks!