TRUSTS, WILLS, & BUSINESS FORMATIONS
Estate & Gift Tax Attorneys
WHO PAYS THE GIFT TAX IN COLORADO?
Colorado does not have its own separate estate tax. However, it's important to note that estate tax laws can change, and states have the authority to implement their own estate taxes. In the past, Colorado initially had an inheritance tax, but it was replaced by an estate tax in 1980. Until 2005, a federal tax credit known as the "state death tax credit" was allowed, and Colorado's estate tax matched this credit. Federal changes eliminated this credit in 2005, effectively ending Colorado's estate tax for deaths after December 31, 2004. However, if the date of death falls before that date, Form DR 1210 must be filed. Additional filing details can be found on the Colorado Department of Revenue website.
Since tax laws can change over time, it's crucial to consult with a qualified estate planning attorney and gift tax attorney in Monument to get the most up-to-date information on estate taxes in the state and to understand how they may impact your estate planning.
Have questions? Speak with a qualified Monument estate & gift tax lawyer at Mason Law and Planning Group. Please call us at (719) 428-4495 or contact us online.
WHO PAYS THE GIFT TAX IN COLORADO SPRINGS?
The federal gift tax is generally paid by the donor (the person making the gift). If you make gifts during your lifetime that exceed the annual exclusion limit or the lifetime gift tax exemption, you may be required to file a federal gift tax return, but you would generally only owe gift tax if your total lifetime gifts exceed the exemption limit.
SPEAK WITH EXPERIENCED ESTATE AND GIFT TAX LAWYERS
With nearly two decades of experience in estate planning, we provide you with trusted guidance to navigate the complexities of these tax matters. Our commitment to honest pricing with no hidden fees ensures that you have a clear understanding of the costs involved before proceeding. We believe in transparency and empowering our clients with knowledge.
By partnering with us, you can feel safe knowing that your wealth will be preserved and transferred according to your wishes. At Mason Law and Planning Group, we are dedicated to helping you protect your legacy and minimize the impact of estate and gift taxes.
Contact us today to discuss your unique situation and take the first step toward securing your financial future. Dial (719) 428-4495 to make an appointment.
what is an estate or gift tax?
Assets you give to others during your lifetime may be subject to federal gift tax. The Internal Revenue Service (IRS) can apply gift tax to various types of assets, including:
- Money and cash transfers
- Savings and bank accounts
- Real estate properties
- Investment accounts and securities
- Vehicles and automobiles
- Valuable family heirlooms
Similarly, when your estate transfers to beneficiaries after death, it may face estate taxes. These taxes can reduce the overall value of what your heirs ultimately receive. Both gift and estate taxes are administered by the Internal Revenue Service (IRS) as part of their oversight of wealth transfers.
Can Some Gifts Tax Exempt?
The IRS may exempt certain gifts, including:
Tuition-related gifts
Medical expense-related gifts
Gifts given directly to a spouse
Gifts to a political organization