On April 30, 2015

Resuming Joint Tenancy & Probate FAQs (Pt. 1), here, more questions regarding these estate planning issues will be answered.

Joint Tenancy & Probate: Here’s What Else You Should Know

Q – Are there tax repercussions of joint tenancy in probate?

Wondering about the tax implications of joint tenancy and probate? Here are some answers. For more, contact our Denver probate attorney today.

Wondering about the tax implications of joint tenancy and probate? Here are some answers. For more, contact our Denver probate attorney today.

A – There can be, and again, the specifics of a given situation will dictate just whether and what these tax implications may be. When it comes to taxes for property held in joint tenancy, the following may be the three types of taxes that come into play:

  • Estate taxes, as jointly held property can still be subject to estate taxes (such as in the case of the tenants not being spouses and, consequently, the property being included as part of the decedent’s estate)
  • Income taxes, should the property held in joint tenancy generate income for the tenant(s)
  • Gift taxes, which can come into play when the property is being transferred to surviving tenant(s).

Q – Can a decedent’s will impact the property held in joint tenancy?

A – Generally no. A will is intended to govern property that a person owns individually (i.e. in his name alone) and that does not already have a beneficiary designation. Since, by definition, jointly held property is owned by at least two people, this property won’t be controlled by the terms of the will.

What all of this boils down to is that:

  • It is important to understand how your property is owned.
  • Making plans for your loved ones/the transfer of your property after you pass can be complicated, so it’s best to work with an experienced lawyer – like a Denver probate attorney at JR Phillips & Associates, PC.

Q – If everything I own is held in joint tenancy, do I still need a will?

A – Likely yes. Although jointly held property is not governed by the provisions of a will, having a will can still be important for:

  • Setting up powers of attorney
  • Detailing your end-of-life wishes
  • Providing stipulations about what should happen to the property if the other joint tenant(s) pass away at the same time (i.e., there are no surviving joint tenants).

Be sure to look for the upcoming conclusion to this blog series for some more important info about joint tenancy, probate and estate planning.

Denver Probate Attorney at JR Phillips & Associates, PC

Are getting ready to probate an estate? Or are you a beneficiary for an estate that will be probated soon? If so, you can turn to a trusted Denver probate attorney at JR Phillips & Associates, PC for experienced legal help and the best representation.

Our Denver probate lawyers are skilled at using a variety of traditional and innovative approaches to develop solutions that are perfectly tailored to our clients’ needs and objectives. Our goal is to help our clients efficiently navigate the complexities of the law so they can develop effective, prudent solutions that will protect them, their assets and their families in the future.

 

Categories: Probate