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Financial Planning / Tax Strategies


Subject:  Re: Tax on Inheritance Date:  6/26/2007  12:21 PM
Author:  ptheland Number:  95027 of 127814

There is no federal income tax on this inherited stock. Your state may be a different story (but probably not).

The dividends will be taxable to your son only when the estate pays them to him. Or it is possible for the estate to pay the income tax on the dividends and then he will receive them tax free. You will need to coordinate with the executor of the estate on that issue.

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