Kentucky tax law

By ELPO Law Partner Nathan Vinson The IRS announced on Wednesday that it will push back the tax return filing and payment deadlines for individuals to May 17 from April 15 partly due to the new $1.9 trillion relief law and its impacts on 2020 individual income taxes. We… Read More

Believe it or not, the end of 2020 is quickly approaching (insert collective sigh of relief). While I think most of us are ready to start looking forward to 2021 and would prefer to not even have to utter the words 2020 anymore, now is the time to finish off the year strong by reviewing simple, yet important, year-end tax planning and wealth transfer tips. When most people think of tax planning and wealth transfer, they may have in mind complex estate planning documents and an overload of legal and accounting advice.  But that doesn’t have to be the case.  Here are three simple tips that you can implement with relative ease, though you will want to consult your tax advisor first. Read More

Well here we are.  It has been well over a year since the United States Supreme Court’s decision in South Dakota v. Wayfair, Inc.  As a refresher and not to make your eyes agonizingly glaze over with the down and dirty tax details, Wayfair essentially upheld South Dakota’s tax law… Read More

Nonprofits are still subjected to the extended sales and use tax laws if they conduct sales outside of admissions and fundraising events sales. Read More

By Nathan Vinson, Attorney English, Lucas, Priest and Owsley, LLPMost of us want to do the right thing when it comes to taxes.MOST of us. Or, perhaps we just don’t look good in orange.If we legitimately owe taxes on our income or an inheritance, we understand we have to pay. This is part of being an adult. (The boring, terrible part.)But it’s not as simple as writing a check to pay an invoice. Taxpayers, especially in Kentucky, are left to decipher the state’s tax laws and decide if it applies to their situation. More often than not, Kentucky tax laws are not black and white. Read More

In our last post, we discussed how divorce affects an estate plan. A thorough review of all estate documents is critical post-divorce to ensure you’ve covered every conceivable scenario and changed every document necessary. Allowing an attorney to do that review for you is always in your best interest, as attorneys have a keen eye for details and wording that may escape even a close reader who does not have legal training.Taking this matter one step backwards, though, we’re examining annulment versus divorce in this post. While both lead to the same conclusion – you’re no longer married – these two scenarios have very different consequences when it comes time to pay taxes.Both parties may file as married at tax time if they were still legally married at the end of the calendar year. Options include filing a joint tax return, as many married couples do, or checking the married but filing separately box. Read More

Nathan VinsonBy Nathan Vinson, Attorney English, Lucas, Priest & Owsley, LLPAn Individual Retirement Arrangement (IRA) may be a vehicle available to Kentucky residents to avoid Kentucky’s inheritance tax.  The Kentucky inheritance tax is payable by the beneficiaries of a person’s estate, depending on what the beneficiary received and the relationship of the decedent to the beneficiary. “Class A” beneficiaries are exempt from the inheritance tax and include parents, surviving spouses, siblings (whether full or half), children (including adopted children and stepchildren), and grandchildren.“Class B” beneficiaries enjoy a partial exemption from the tax and include aunts, uncles, nephews and nieces (including by the half), daughter-in-laws, son-in-laws, and great-grandchildren (including those who are the grandchildren of adopted children and stepchildren).All other beneficiaries are considered “Class C” beneficiaries and are afforded a nominal exemption from the inheritance tax.  With the highest rate of Kentucky’s inheritance tax being 16%, Class B and Class C beneficiaries may take a big hit if they inherit any sizable amount from the decedent’s estate. Here is where planning opportunities arise using IRAs. Read More