Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
Author: Scarinci Hollenbeck, LLC
Date: September 5, 2014
The Firm
201-896-4100 info@sh-law.comAs numerous other states make similar moves, New Jersey is considering estate tax reform.
A bill has been introduced to the New Jersey state legislature that would repeal the inheritance tax and raise the size of the estate tax exemption to the federal level, according to The Real Deal. Currently, New Jersey is one of just two states left in the U.S. to tax both estates and inheritance.
This means that estates that are larger than the state exemption – $675,000 in New Jersey – are first taxed under the estate tax, according to NorthJersey.com. Then, the remaining money can be taxed a second time when it is inherited, up to a maximum rate of 16 percent. Spouses, children and parents are exempt from the inheritance tax, but siblings, cousins, other relatives and friends are not.
The threshold for estate taxes at the federal level is $5.34 million – considerably larger than the New Jersey exemption. The federal exemption is also indexed for inflation, meaning that it increases to stay in line with the value of the dollar.
Proponents for a higher exemption argue that many middle class families accumulate an estate of $1 to $2 million in the form of real estate equity, and that we should not necessarily penalize them for accruing this modest level of wealth over a lifetime.
On the other hand, Department of Treasury data cited by NorthJersey.com found that almost $760 million of the total state budget of $32.5 billion will come from estate and inheritance taxes this year. Those who oppose raising the exemption to the federal level argue that doing so would result in a loss of tax revenues that would have to be paid for another way.
To find out more about how these estate tax reforms will affect you, feel free to speak with a tax attorney at ScarinciHollenbeck.com. If you would like to read more about estate tax reform than take a look at some of our older posts on this topic:
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
The bankruptcy legal landscape presents both challenges and opportunities for businesses navigating financial distress. Understanding current bankruptcy trends can help businesses make more informed and strategic decisions. Corporate Bankruptcy Filings Trending Upwards Bankruptcy filings continued to trend upwards in 2024. According to statistics released by the Administrative Office of the U.S. Courts, personal and business […]
Author: Brian D. Spector
In December, the U.S. Securities and Exchange Commission (SEC) announced charges against two privately held companies for failing to file a Form D notice, which is generally utilized for exempt securities offerings. Here, the SEC’s enforcement sends a strong message: compliance with regulatory requirements is not optional and failure to comply can have significant consequences. […]
Author: Kenneth C. Oh
On February 14, 2025, the Office of General Counsel (OGC) of the National Labor Relations Board (NLRB) under Acting General Counsel William B. Cowen issued Memorandum 25-05, “New Process for More Efficient, Effective, Accessible and Transparent Case handling.” The Memorandum rescinds nearly all of the Memoranda issued by his direct predecessor, Jennifer Abruzzo, setting the […]
Author: Matthew F. Mimnaugh
If you purchase real property from a foreign person or entity, you may be required to withhold taxes from your payment to the seller under the Foreign Investment in Real Property Tax Act (FIRPTA). The federal tax law is designed to ensure that foreign sellers pay any applicable capital gains tax on profits realized from […]
Author: Jesse M. Dimitro
Your home is likely your greatest asset, which is why it is so important to adequately protect it. Homeowners insurance protects you from the financial costs of unforeseen losses, such as theft, fire, and natural disasters, by helping you rebuild and replace possessions that were lost While the definition of “adequate” coverage depends upon a […]
Author: Jesse M. Dimitro
Making a non-contingent offer can dramatically increase your chances of securing a real estate transaction, particularly in competitive markets like New York City. However, buyers should understand that waiving contingencies, including those related to financing, or appraisals, also comes with significant risks. Determining your best strategy requires careful analysis of the property, the market, and […]
Author: Jesse M. Dimitro
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!