What assets might be subject to taxing during the California living trust administration process?

As you begin the process of implementing a California estate plan, you may feel overwhelmed by the potential tax responsibilities that lie before you. Even a task that is seemingly simple, such as listing the assets of the estate, is more complicated than it may first appear. Fortunately, an experienced Anaheim trust attorney can help guide you through this process.

When preparing and filing tax returns on behalf of an estate, the first step is to list the assets. These assets must then be valued. The following are examples of assets that will be included when calculating potential taxes owed by an estate in California:

  • Assets owed in the individual’s name at their death.
  • Assets owned jointly with his or her spouse.
  • Assets held in a revocable living trust in California.
  • Assets that are designated to a beneficiary.

Attempting to make determinations about the taxes owed by a trust or estate without the guidance of an experienced professional could be costly. It is the duty of the successor trustee to pay these taxes. Paying these taxes incorrectly, or worse, failing to pay them at all, could result in costly penalties and fees.

To learn more about living trusts and the role of the successor trustee, view our free guide, Understanding the Revocable Living Trust - In Language that Anyone Can Understand in 8 Minutes. The experienced Anaheim trust lawyers at the Law Office of James F. Roberts & Associates, APC, can guide you through the process of implementing a trust or estate in California. Call our office today at (714) 459-5481.

James F. Roberts
Founder and owner of the Law Office of James F. Roberts and Associates, a premiere estate planning law firm