Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 12-16-2007, 01:51 AM
Junior Member
 
Join Date: Dec 2007
Posts: 1
Is this money taxable by the irs or the state of ohio

M mother died in Illinois and only has cash in a bank account. She has no property or no bonds stocks, nothing else. I live in ohio. I will receive 25,000 dollars from her estate once all the bills are paid. her estate is about 120,000 dollars before all bills are paid. After bills she will have about 54,000 left over which will be dived between her two children , my sister and me. Is this money taxable by the irs or the state of ohio. Do I have to declare this money as income, if so how?



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #2 (permalink)  
Old 12-23-2007, 05:47 PM
TaxGuru's Avatar
Tax Guru
 
Join Date: Jan 2007
Location: New Jersey, USA
Posts: 2,417
Blog Entries: 3
What are Federal and Ohio Estate Tax Exemptions?

Federal Estate Tax
THE good news is it's unlikely that you'll owe estate taxes based on the facts that you have presented. This is because the Federal Estate Exemption allowance of $2 million in 2006-2008 will exempt any of your parents assets being subjected to Federal Estate Taxes as it does not exceed the exemption amount.

Ohio Estate Tax:
Furthermore, in Ohio State, for dates of death on or after January 1, 2002, an estate tax return (E.T. Form 2) must ONLY be filed for an estate that has a gross value of $338,333 or more regardless of whether a Federal estate tax return is filed. Hence, it would seem that you would be exempt from both filing or having any Ohio Estate Tax Liability.

In short, there would be no Federal or Ohio Estate tax liabilities in your case!

__________________
Find a CPA near you!

Ask TaxGuru Please refer to the legal disclaimer.


Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply



Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning
 
 
 

» Recent Tax Q&A
No Threads to Display.