When it comes to the probate process and estate taxes in the state of Tennessee, there are many points of consideration that you can't afford to overlook.
As somebody going through the estate administration process, such as after a loved one has passed, it's imperative to know what's expected of you. When you have an idea of how the process will unfold, it's much easier to make informed decisions at the right time.
Here are some details to consider:
-- In 2012, the state passed a law to phase out inheritance tax. By the end of 2016, this was completely repealed, meaning that you no longer have to concern yourself with this.
-- In Tennessee, a court-appointed representative is required. This person is responsible for tasks such as filing an inventory of assets, contacting creditors, and distributing assets.
-- There are many types of assets that will go through the probate process. Some of these include bank and credit union accounts, investments, stocks and bonds, and tangible personal property.
-- Although inheritance tax is no longer a concern, there are other taxes to consider such as: final income tax return and property taxes.
With so many points of consideration, it's easy to see why people have a difficult time dealing with probate and estate tax questions after the death of a loved one. The best thing you can do is remain organized, make the right moves at the right time, and consult with legal and financial professional who can help move the process forward in the appropriate manner.
Source: FindLaw, "Tennessee Probate and Estate Tax Laws," accessed Jan. 19, 2017