Dan wants to know about wills and inheritance taxes
Attorney Tom Olsen: Let’s go to Dan in Daytona. Dan, you’re on News 96.5. Go ahead.
Dan: Good morning! My father has about two million dollars, a quarter of that is in a home and the rest is in liquid assets. He made it on selling his business. We have a good relationship, my father and I, and he’s from old school. So, he’s not too set on the laws and he really doesn’t want to talk about wills yet. It just scares him.
Attorney Tom Olsen: Alright.
Dan: The question is, I spent a lot of time in that business, about 10 years working there when I left my profession and they told me I’ll eventually inherit that. My question is, what’s the best way to do that? Am I entitled to all this paper –?
Attorney Tom Olsen: Is your dad single or married?
Dan: He’s single. He’s single.
Attorney Tom Olsen: And how many children does your dad have?
Dan: None. I’m the only one.
Attorney Tom Olsen: Okay. Well, if your dad dies — and is he a resident of Florida, by the way?
Dan: Yes, he is.
Attorney Tom Olsen: Okay. If your dad dies without a will in Florida, the Florida Statutes is going to write a will for him and in this case, it says everything’s going to go to you.
Dan: Okay. He does have a will and it says that everything’s going to me.
Attorney Tom Olsen: Okay.
Dan: Question is, it seems like I will be paying taxes on it again. I’ve worked at business and so –
Attorney Tom Olsen: No. Your dad is going to be allowed to pass up to two, excuse me, five million dollars free of death taxes.
Attorney Tom Olsen: So from what you’re telling me, Dan, there’s not going to be any death taxes when your dad dies.
Dan: Okay. Is there any other taxes – are we talking inheritance taxes, when we say death taxes?
Attorney Tom Olsen: Yes, inheritance, death taxes, same thing.
Dan: Oh, okay.
Attorney Tom Olsen: The only tax that may be due, Dan, is if your dad has an IRA – a traditional IRA.
Dan: No, he doesn’t. Well, you saved me a lot of the problems. I thank you. Great! Great! Great!
Attorney Tom Olsen: Okay, Dan. Thanks for calling. We appreciate it.