Keep The IRS Out Of Your Family Inheritance
VIDEO TRANSCRIPTION – Keep the IRS out of your family inheritance. Hi, I’m Steven D. Cooper, your tax strategist with Coopers Accounting Service, because your financial freedom matters.
If you’d like to learn more great tax tips, download our popular financial guide at our website, yourfinancialfreedommatters.com, or click on the link below this video. Sadly, a few weeks ago, I lost a client. I’ve known this lady for over 30 years.
Her husband visited me this past Friday. We went over a few things. Number one, he told me when he met up with the financial advisor, he expressed no remorse at all. All he wanted was access and control of the $1.5 million in her retirement account.
Secondly, the client had roughly over $100,000 in her bank account but he expressed to me that he was not a signer on their account. In my mind, that could create a tax consequence because he should have been at least a co-signer or a beneficiary on their account. So how are we going to help him at Coopers Accounting Service?
We’re going to help him by re-assigning him another financial advisor, someone that he’ll trust and also have his best interests as well as two. The client also owns a rental property. So I’m going to refer him to a personal owner that I know that owns the property management company. I also advise him right now you’re a tender, you’re a vulnerable.
Do not make any quick rash or brass decisions right now. So you may decide to keep the property for a year or you may do a 1031 exchange, sell the property, roll it over and have it as a paper asset where you would just get your residual income every month and you do not have to worry about the day-to-day management of the rental property.
We here at Coopers Accounting Service, we want to help you. I explain this to my client. Once again, I’ve known this woman for over 30 years. So she just wasn’t a client to me. She was like a big sister and I handled him, you know, like a dove. I want to you, share you one of the stories that he shared with me.
Little funny one. They went camping and when they went camping, she need to use the restroom. So when she got out, she thought she saw a bear. She stood still for 30 minutes. Then she couldn’t hold it no more and she wouldn’t use the restroom. Got back in the tent. So I thought I saw a bear.
Then the next morning she pointed out where she saw the bear at. He said, this stump is what you saw for a bear? And they just left it off as a result of this. For those of you that are married, you will get some of these married sense of humor that only a husband and wife can turn around and get as a result of this. So once again, we now…
They do have a trust, so that’s a good thing. But there are some potential ⁓ variations that they left open. So we got to look in the retirement account. Is there potential tax consequences from that? Because it is going to change your ownership. He may potentially do a 1031 exchange. We do not know, but he has options.
But as his tax advisor, we are gonna have to do research to verify or the impotent tax consequences. We will address those issues later. We want him to express the funeral arrangements and to give him closure at this stage of his life.
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If you’d like like a free 20 minute smart money consultation, call us 562-436-2600. Well again, I’m Steven D. Cooper, your tax strategist at Coopers Accounting Service.
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