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Estate Administration
Probate & Non-Probate Assets
Payment of the Decedent’s Debts
Death Certificates
Probate Court Costs
Attorney / Executor Fees
Role of the Executor
Estate Tax
Income Tax – Estate
Income Tax – Beneficiaries
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IRAs and annuities beneficiaries should be spread across as many people as possible, to spread out the income tax liability for those beneficiaries. If you have three children and one large IRA, make all three children the beneficiary of the IRA, not one child who is then directed to split the money. The taxable income will then be spread among all three children.
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To learn more about
Handling An Estate
Contact Us to Schedule a Visit
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Who Is Going To Tax The Decedent's Assets?
There is a Federal estate tax and an Ohio estate tax. Distribution amounts received by inheritance are generally non-taxable for income tax purposes. Exceptions include:
- • IRAs
- • Annuities
- • Savings Bond Interest
- • Any asset carrying tax-deferred income
Tax-deferred assets normally generate some taxable income when distributed. Special rules apply as to how distributions can be made from these kinds of assets. Often with IRAs and annuities, distributions can be stretched over a number of years, which may be advantageous from an income tax perspective. All taxable income from non-probate assets belongs to the designated beneficiary(ies).
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