April 11, 2011
Dear Harry: My father-in-law is in his 80s and is living in a nursing home. We have been going over his resources because his money is fast being used up. He inherited a pretty substantial estate from his mother in 1998. However, there seems to be a huge discrepancy in the value placed on his mother's home at the time of her death. There was a very large understatement of the value of the home used on her inheritance-tax report. It had to have been undervalued by at least $400,000, based on sales of a number of similar homes in 1998.
May 11, 2011
Dear Harry: My father-in-law is in his 80s and is living in a nursing home. We have been going over his resources because his money is fast being used up. He inherited a pretty substantial estate from his mother in 1998. However, there seems to be a huge discrepancy in the value placed on his mother's home at the time of her death. A very large understatement of the value of the home was used on her inheritance-tax report. It had to have been undervalued by at least $400,000, based on sales of a number of similar homes in 1998.
May 17, 2000 |
When Keith Roessing's mother-in-law became ill, he and his wife sold her home in West Virginia and moved her to their home in the suburbs of Pittsburgh. In January 1999, she died, leaving her daughter $200,000. Then the Pennsylvania inheritance-tax bill came due. The tab: $12,000, a 6 percent hit. Roessing fired off a letter to his state legislator, Sen. Melissa Hart, pointing out that had his mother-in-law died in West Virginia, no taxes would have been owed. He urged the legislature to follow the policy in that state, which, like most states, does not tax estates smaller than $675,000.
August 30, 2010
Dear Harry: My brother passed away recently, and among his assets was a large IRA that resulted from a rollover of his employer's pension plan. He was 73 when he died. Of course, he'd started to take his minimum required distribution in the year he was 70 1/2. The IRA was equally distributed to his four heirs (my brothers and me). Since this was his only major asset, I felt that I would be able to file his inheritance-tax return with Harrisburg by myself with a minimum of help. I called the Pennsylvania Department of Revenue, and was told that the IRA was subject to the tax since he already had started to take distributions.
August 23, 2000 |
By now, virtually everybody knows that Congress passed a repeal of the federal estate tax. We also know that the repeal is favored by the Republican candidates and their party, as well as some Democrats. But most of us have lost sight of the fact that there are state death taxes as well. Pennsylvania has both an estate and an inheritance tax. Most states have estate taxes if only to take advantage of the credit allowed under the federal law for state death taxes. There's a direct offset for these state taxes against any federal estate taxes due. The state inheritance tax hits every estate, regardless of size.
July 14, 1999 |
Markin R. Knight Jr., 53, of Lansdale, a banking and tax officer for First Union Corp. who had been active in community sports, died Sunday of pneumonia at Hahnemann University Hospital. He had a tissue-related disorder for two years. At the time of his death, Mr. Knight was a vice president in the inheritance-tax department of First Union Corp. in Philadelphia. He had joined Philadelphia National Bank, a predecessor of First Union, in 1974 after beginning his career with Northern Central Bank in Williamsport, Pa. "He touched the lives, in a positive way, of anyone he met," said Tom Shields, manager of the First Union's inheritance-tax department.
March 15, 2013
DEAR HARRY: Some time ago, you advised an older reader not to transfer ownership of her home to her child. I don't remember the reason, or even if it was a son or daughter. I thought: "What does he know about family relations? He's a money guy. " Then I had a similar situation. In 2009, I transferred my home to my only child, a son, primarily to save the Pennsylvania inheritance tax. My estate is not big enough to meet the federal minimum. I even protected my interest by getting a long-term lease at $10 a year.
May 25, 1998 |
She has promised to run an unconventional political campaign. How's this for starters? Peg Luksik, the Johnstown homemaker who plans to run for governor on the Constitutional Party ticket in November, will launch her media campaign today - six days after the primary, 162 days before the Nov. 3 election, and months before candidates typically begin TV advertising. Luksik's ad is titled "A Political Commercial After the Primary?" It will run on cable television in all of the state's media markets, including Philadelphia.
September 25, 1990 |
The state House of Representatives overwhelmingly approved legislation yesterday that would repeal the so-called widow's tax, but the Casey administration, wary of the fiscal impact, expressed reservations about the proposal. The measure, over a five-year period, would phase out the 6 percent inheritance tax surviving spouses must pay on property that is not held jointly. Pennsylvania is one of only three states with such a provision on the books. Opponents contend the tax imposes hardship on the surviving spouses, some of whom must sell assets to pay the tax. "This is one of the few opportunities you'll get to do nothing but good," House Minority Leader Matthew C. Ryan (R., Delaware)
August 30, 2000
Jaywalkers make us cross Finally, a Philadelphia newspaper has addressed Philadelphia's jaywalking problem (Aug. 25). I marvel at the lack of intelligence people display while walking the streets. And they get peeved when you blow the horn at them. I hope your article was educational for the dolts who risk their lives just because they can't wait for a traffic light to change. PAUL SMITH, Philadelphia Why do Philadelphians jaywalk? They have no choice. These incidents happened between 2 and 3 p.m. on Friday, the very day your article appeared: On Walnut at Juniper, traffic had blocked the cross street and crosswalk; even with the light, we were dodging cars.