Inheritance
Candlefocus EditorIn a will, the decedent specifies how the inheritance is to be divided among their beneficiaries. If there is no will (or if any part of the will is judged invalid by the court), the distribution of the inheritance will then be determined according to the law of intestate succession. This law refers to the rights of the next-of-kin to partially or fully inherit the estate of the deceased.
Inheritance is a powerful tool that individuals can use to ensure that their assets and possessions are passed down to the people they want to receive them. It is also an important part of estate planning to ensure that the decedent’s wishes are upheld upon their death.
Aside from the emotional implications, inheritance may be subject to taxation. If a beneficiary receives property as part of an inheritance, they may need to pay taxes on the income from that property. In some cases, beneficiaries may have to pay an inheritance tax on the property itself. Inheritance taxes are incurred at the state level and there are currently six U.S. states that impose an inheritance tax.
Inheritance can be a complex and emotionally charged process, but with the right planning, it can make sure that your possessions are passed on in the way that you intended. Having a will in place can ensure that your estate is divided according to your wishes and can spare your family the burden of making difficult decisions about what to do with your assets. It is also important to understand any inheritance tax laws in your state, as beneficiaries may have to pay taxes on the property or income received from any inherited assets.