Sentences with phrase «estate tax exemption upon»

The purpose of an A-B trust arrangement (also called a «marital and bypass trust combination») is to enable both spouses to use the applicable estate tax exemption upon their deaths, which shelters more assets from federal estate taxes.

Not exact matches

The marital deduction law allows married couples to transfer an unlimited amount to their spouse without an estate tax hit; however, upon the death of a spouse, the surviving spouse does not get this privilege (unless they remarry) and if his / her estate exceeds the federal and state estate tax exemption then it will be taxed upon their death.

Article IV of chapter 1 of Part the Second of the Constitution is hereby amended by inserting after the words «and to impose and levy proportional and reasonable assessments, rates and taxes, upon all the inhabitants of, and persons resident, and estates lying, within said Commonwealth» the words: -, except that, in addition to the powers conferred under Articles XLI and XCIX of the Amendments, the general court may classify real property according to its use in no more than four classes and to assess, rate and tax such property differently in the classes so established, but proportionately in the same class, and except that reasonable exemptions may be granted.

Upon the first death the entire estate is passed to the surviving spouse estate tax free along with the exemption from the deceased spouse (currently $ 5 million).