Wrapping Your Head Around the Illinois Estate Tax
The peculiarities of the Illinois estate tax and the confusing math underlying it require nuanced, cautious approaches to estate planning and gift giving. In his July Illinois Bar Journal article, “Wrapping Your Head Around the Illinois Estate Tax,” Robert J. Kolasa explains the peculiarities of the Illinois estate tax and the subsequent and considerable changes in estate planning strategies. He begins by noting that while the federal and Illinois estate calculations share similarities, they are different in many respects. Illinois’ formula selects the lower of either the “2011 calculation” under former Section 2011 of the Internal Revenue Code (“IRC”) or the “hypothetical tax” based on federal estate taxes reckoned with a $4 million estate tax exclusion amount. Also included are several helpful calculation tables showing various estate-planning outcomes.
Read more in the July issue of the Illinois Bar Journal.