California law now allows taxpayers to claim a credit for donating to the Cal Grant B program. The program helps low-income students in the state pay for college books and housing. In an effort to increase the amount of money and the number of students who benefit, lawmakers developed a plan that also benefits taxpayers.
The news is full of stories about the student loan debt crisis. The Consumer Financial Protection Bureau reported recently that the debt burden for both private and federal loans in this country has topped $1.2 trillion And, more than 7 million American borrowers have defaulted on their loans.
Michael Jackson's music lives on, and, apparently so do the problems with his estate. The entertainer died more than five years ago, but the IRS is still trying to determine -- and collect -- the tax on the estate. Remember, Jackson died in California, so the only estate tax obligation is to the federal government.
Effective tax and estate planning is often about accounting for trade-offs. Depending on what is included in your particular estate, charitable giving may offer a trade-off that maximizes benefits for you and your family. It is necessary to use the right legal instruments if you intend to make a positive difference in the world while also protecting your estate.
We often wonder why we remember some things so clearly but cannot remember why we went into the kitchen. Recently, we were reading an article about Michael Jackson's estate, and a discussion from our high school American history class came back. We were talking about immigration.
Many of the country’s wealthiest families live in the state of California. And many of these families have been involved in disputes with the Internal Revenue Service over estate taxes following the death of a loved one.