Morris Hall, PLLC

Estate Planning Attorneys

MakePayment with multiple options
CALL NOW: 1 (888) 222-1328
  • Home
  • Our Firm
    • About Morris Hall
    • Attorneys
    • Our Team
    • Morris Hall Core Values
    • Communities We Serve
      • Carefree
      • Flagstaff
      • Mesa
      • Oro Valley
      • Phoenix
      • Prescott
      • Scottsdale
      • Sedona
      • Tucson
    • Career Opportunities
  • Estate Planning Services
    • Advanced Estate Planning
    • Asset Protection
    • Power of Attorney
    • Trust Administration and Probate
    • Wills and Trusts
  • Resources
    • Blog
    • Do I Need an Estate Plan?
    • Elder Law Reports
    • Elder Law Resources
      • Phoenix Elder Law
      • Tucson Elder Law
    • Estate Planning Problems
    • FAQs
    • Probate Resources
      • Probate
      • Flagstaff Probate
      • Phoenix Probate
      • Sedona Probate
      • Tucson Probate
    • Published Books
      • Don’t Go Broke in a Nursing home
      • Tax Free Money for Long-Term Care!
    • Recent Law Changes and Improvements Affecting Arizona
      • Update My Living Trust
    • Reports
    • Videos
    • What to Do When Death Occurs
      • What Not To Do When Someone Dies
      • Who To Contact After A Loved Ones Death
  • Reviews
    • Testimonials
    • Review Us
  • Locations
  • Events
    • Seminars / Webinars
    • Past Webinar Recordings
  • Contact
    • Consultation Policy
    • Contact Us
    • Discounts

The IRS is nice?

May 11, 2015 by James P. Plitz Leave a Comment

Did you know the IRS is nice?  It must sound as strange to read as it is to write.  But in this one instance the IRS does a very nice thing for the loved ones of a person who passes away:  There is a step-up in cost basis for all assets included in the decedent’s estate.

The easier way to understand it is that if the person who dies owns something, capital gains is effectively wiped out.  That’s right, capital gain tax will be zeroed out as of the day the person died.

Even better is that for married couples in Arizona, the same thing happens when we lose our spouse – the entire estate (all of our assets) are “stepped-up”.  This is because the IRS treats community property differently than separate property (Arizona are two of the nine community property states in the country).

But there are traps for the unwary.  We have clients who have given property to their adult children, trying to “make things easier”, and what ends up happening is when that property is sold, the kids are stuck with a large capital gains tax bill.   The gift was not only the property, but also the cost basis in that property.

Setting up your estate plan is, in part, getting your wishes documented. But it is also to take advantage of the laws and privileges that are on the books.  Come in and discuss your goals and our team of experienced estate planning attorneys can help create your plan to work within the law, and even to let your loved see that the IRS can be nice.

jim-plitz    Contributed by Morris Hall, PLLC   Estate Planinng Attorney and Partner, James P. Plitz.

   About Morris Hall, PLLC:
At Morris Hall, PLLC we have focused our legal practice on estate planning for over 45 years.  Along with estate planning, our attorneys help clients and their families with matters of probate, trust administration, wills, power of attorneys, business planning, succession planning, legacy planning, charitable gifting and other important legal aspects.  We also have divisions in financial, real estate and accounting to help you incorporate all of your planning together, ensuring that everything works perfectly for your needs and situation. Our Arizona offices are located in Phoenix, Mesa, Scottsdale, Carefree, Tucson, Oro Valley, Prescott, Flagstaff and Arrowhead.    Contact us today at 888.222.1328 to schedule an appointment!

This blog should be used for informational purposes only.  It does not create an attorney-client relationship with any reader and should not be construed as legal advice.  If you need legal advice, please contact an attorney in your community who can assess the specifics of your situation.

  • Author
  • Recent Posts
James P. Plitz
James P. Plitz
Attorney at Morris Hall PLLC
Jim has been with MH since 2009, and moved toin 2012..  In 2016 Jim was made a partner at the firm.  He has enjoyed his tenure with Morris Hall; helping in their endeavors to protect the estates of each client, providing them with the peace of mind they deserve.   Jim has embraced Morris Hall’s desire to provide understandable education throughout Arizona.  Jim has provided educational events to many organizations around teaching the importance of proper estate planning, and recently has co-authored two books: Don't Go Broke in a Nursing Home, and Tax-Free Money for Long-Term Care.  
James P. Plitz
Latest posts by James P. Plitz (see all)
  • Biden Administration Could Reduce Estate Tax Exclusion - February 18, 2021
  • It’s Better to Give, Especially This Year - February 9, 2021
  • Why Would I Want My Trust to Be a Secret? - April 28, 2020

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

MH logo

Main Office

7600 N 16th St, Ste 105

Phoenix, AZ 85020

Phone: 602-249-1328

Fax: 602-248-2887

Subscribe to Our Newsletter

For a sample Click Here

Offices

Our law firm proudly serves many areas in Arizona. See all of our locations here.

Our law firm proudly serves the state of Arizona.  See all of our locations here.

Toll Free: 888-222-1328

Mon-Thur: 8:00am – 5:00pm
Fri: 8:00am – 4:00pm

  • Linkedin
  • Twitter
  • Facebook
  • Youtube
  • Instagram

Need an Estate Planning Lawyer in Arizona?

Looking for an estate planning attorney near you? We have office locations in Phoenix, Mesa, Chandler, Scottsdale, West Valley, Carefree, Prescott, Sedona, Flagstaff, Tucson, and Oro Valley in Arizona so please visit us at the location that is closest to you.

  • © 2023 American Academy of Estate Planning Attorneys, Inc All rights reserved.
  • Disclaimer