From Schlessel Law PLLC – In this episode, we delve into the complexities of Income Tax Rates for Trusts and Estates 2025, offering valuable insights for Long Island residents navigating estate planning and taxation. Trusts serve as powerful tools for managing and distributing assets, but understanding their tax implications is crucial. Our discussion covers the federal and state tax landscape, including key distinctions between simple trusts, complex trusts, and grantor trusts, and how these impact taxation on income and distributions.
Join us as we explore the role of trustees in overseeing trust assets, managing income, and fulfilling grantor wishes. We'll address how federal tax brackets for trusts and estates affect both ordinary and long-term capital gains in 2025. With the New York estate tax exemption set at $7.16 million, we unpack how state and local taxes, including those in New York City and Yonkers, intersect with trust taxation. The episode also sheds light on tax preparation and trustee management fees, as well as deductions for charitable donations.
Our conversation highlights the importance of planning for beneficiaries, emphasizing how income distributions may be taxed while principal distributions often avoid double taxation. We also examine the implications of the federal gift tax exemption, which increases to $19,000 in 2025, and the lifetime exemption of $13.99 million. Whether you're setting up a trust to manage real estate, pay for education, or ensure a loved one's financial security, this episode provides actionable information.
Tune in to learn how Schlessel Law PLLC, led by Seth Schlessel, supports Long Island families in creating tailored estate plans. Contact us at (516) 574-9630 or visit our website to schedule a free consultation. Whether you’re new to estate planning or seeking to refine an existing trust, this episode will help you approach your goals with clarity.
Schlessel Law PLLC
34 Willis Ave Suite 300, Mineola, NY 11501, United States
(516) 574-9630
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