AboutJohn L. Tidwell Expertise Unemployment tax law both state and federal; determination of employer employee relationship; the usual 20 commonlaw factors for making that determination; and what makes me a liable employer.
Experience Over 20 years of field audit experience with a state agency
Organizations none
Publications none
Education/Credentials Degree in Accounting from Falls Business College
Expert: John L. Tidwell Date: 7/4/2008 Subject: inheritance tax
Question Our parents died. They had a cd and savings included in the family trust. Also had insurance, IRA and Annuity insurance which they cashed out to be paid in # of years.
we, the children collected the cd, savings. We also collected as survivors, the remaining balance on the annuity and will be receiving the IRA balance.
Do we have to pay taxes on these monies which are our inheritance, as they had wills naming us their beneficiaries?
Thanks,
Answer Noris:
All inheritance tax will be paid by the estate. In some rare cases, inherited money may be required reported on supporting forms of some capital gains or other transaction, that could reduce a tax deduction or other tax reducing benefit. However, if you have a straight forth wage income without any complicated tax deduction or income producing return, there should be no effect on your tax return.
