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Image credit: www.sxc.hu - free image (yellow moon) October 31st has arrived -- Happy Halloween.  As you prepare to take your little goblins and witches (in my case a pirate and an owl) for an evening stroll to collect candies, or you prepare a bowl to keep near your door for the little ones posing the question trick or treat, don't forget the coins.  Yes, Halloween is most prominently associated with candy corn and other sweet treats, but it is also a day when children can make a difference in the lives of children with less advantages through the UNICEF program.  Created over 60 years ago it is a long-standing charitable program.  Enjoy the fun, and consider what you might be able to do to put more treat and less trick into the lives of children around the globe.  One not need be a billionaire to make a difference in the world.

Image credit:  www.sxc.hu - tax papers, free image Ask a lawyer a question, and you'll likely get an answer along the lines of "it depends".  And that is the case for the question of whether Wisconsin's state estate tax will return in 2013.  As I write this post, we can only guess about what will happen, and here is why. First, an estate tax is a tax levied upon an estate when a person dies with a net worth in excess of an amount set by a legislative body.  There is a Federal estate tax, with an exemption level set by Congress.  And then each of the 50 states can elect to implement their own state estate tax. Second, Wisconsin used to have an estate tax, but it ended as of January 1, 2008.  Its end was based on state legislation linking its tax to the credit allowed on the federal estate tax return for taxes paid to a state.  Current federal estate tax exemption levels are $5 million per individual; if a person has a net worth lower than $5 mi...

Image credit:  www.sxc.hu - free image (gift boxes) When speaking to groups on issues related to illness, death and taxes for the middle class, I spend more time on matters related to gift taxes than I do the federal estate tax.  The reason is simple -- the gift tax applies to more middle class homes than the estate tax does. The gift tax is a tax owed by the person making the gift if the amount exceeds the annual exclusion for the year (in 2012 it is $13,000 per person per year).  However, there are transfers that may give the appearance of a gift, but are not taxable according to the IRS.  Three of them are: Transfers to political organizations (as defined in Section 527(e)1(1) of IRS code); Transfers for education, excluding costs for books, supplies, dorm fees or board, as well as contributions to 529 plans; and Transfers for medical expenses (care must meet the same requirements as the income tax deduction). Now remember, a blog is not a lawyer s...

If you are like most people, in your wallet or brief case you likely carry a frequent flier card or some sort of loyalty program.  And given the kind of work I do, a natural question is what happens to those "points" when you die?  Of course, being an attorney my answer is "it depends".  As recently covered at a recent continuing legal education update it was shared that the distribution of these assets vary, and depend on the terms of the contract created by each company.  But, there is an article available on the web (dated 2011) that covers some of the big ones.  Do you use a beneficiary form?  Does your will control?  What if you die without a will?  If this seems trivial, pause and reflect on the fact that it is estimated that members are estimated to be holding approximately 3.5 trillion unused miles.  That is a lot of miles to pass without a little though and reflection. Even if you do know what will happen (they pass via will) in...

Yesterday and today I have been attending the annual CLEW Tax Law update in Madison.  A day and a half packed with tax concepts, code citations, and esoteric terms.  For the registration fee I walk away with the following three pearls of wisdom, which anyone can benefit from in the world of estate planning and probate: File things on time, and avoid creating a questionable issue the court will have to decided (i.e. is priority mail the same as certified mail; the answer in the eyes of Wisconsin's Department of Revenue is no); Read the entire trust (or insert the name of any legal document; will, contract, form, etc.); and Keep it simple -- the most elegant solution to problems does not require brilliance, but rather appreciation by the government employees reading the legal forms created. Nothing profound.  Concepts available to all, not just those with a multitude of letters after their name.  Common sense, but often overlooked.  I am thankful for the w...

I am only five minutes in to the annual CLEW Tax Law workshop, and I've already received a great bit of information.  Wisconsin's Department of Revenue offers the option of receiving email updates on various areas of tax law.  From "tax professional" to "sales tax", you can plug in your email and get updates as they are published.  I've signed up, and so can you by clicking on the DOR's web site .  Stay informed, it is powerful.  And thanks for reading.  Feel free to share links to other useful tax law update sources if you have one.

The forecast for Madison tomorrow predicts partly sunny and 76 degrees....on October 24th!  Of course I am scheduled to be in a day-long seminar on tax laws.  There will be no Ferris Bueller day for me, as there apparently will be for a fellow probate attorney living down in Chicago (according to her Facebook post).  No, I will be in class....all day. Yes, even attorneys return to the classroom.  Once we are handed a diploma and admitted to the bar, we are still required to attend 30 hours of continuing legal education (CLEs) every two years.  And every fall you will find me enrolled in the CLEW Tax Workshop, presented by the Wisconsin Law School .  A day and a half of jammed packed tax fun, and for a great value. And if you feel bad for me being stuck inside all day, there is no need.  It could be worse....my husband has to take continuing education for his professional engineer stamp (electrical).  And his classes have quizzes.  Ours ...