Do you know your rights and responsibilities when it comes to planning for property taxes after death? Estate tax planning is not a minor issue. The fact is that too many Massachusetts residents' families suffer financial losses because benefactors do not properly prepare their estate before their departure. Knowing how much property you can exclude from the estate tax burden and figuring out how to maximize the amount your family is allowed to keep are key in promoting their financial success after your death.
Property transfer that occurs through an estate plan depends on an accurate valuation of a decedent's estate. If you do not know how much your property is worth, it is nearly impossible to tax. Massachusetts law requires beneficiaries to identify the "fair market value" for all property in the estate on the date of the decedent's death or within a six-month alternate valuation period. This information is critical for making sure that tax returns are filed legally within the state.