Elder Law Alerts
Many people take governmental entitlement programs for granted. Unfortunately, within the myriad of legislation and recent court decisions, these programs literally change overnight. Often these changes can be cause for a change in planning.
We will continue to watch for these changes and publish them here, so you can tend to the business of living...
NOTE: This Alert is informational only and not legal advice. If you have questions or are seeking legal advice, we recommend that you contact Vincent J. Russo & Associates, P.C.
| Alerts |
- 1/3/02 2001 Gift Tax Returns
- 6/1/01 Estate Tax Cuts on the Way
- 4/13/01 Durable Powers of Attorney
- 4/6/01 Grandparents Visitation Rights Struck Down
- 3/5/01 HCFA Clarifies Medicaid County to County
- 2/12/01 Guardianships Under Attack In Suffolk County
2001 GIFT TAX RETURNS
If you have made gifts in 2001 to individuals (other than to a spouse) and/or to trusts, you may have to file a gift tax return.
WHO MUST FILE?
You are required to file a Federal gift tax return on or before April 15, 2002 for all 2001 gifts exceeding $10,000 per donee.
FEDERAL GIFT TAX
If you have made gifts which have used up your federal unified gift tax credit, then you may owe federal gift taxes.
REQUIRED DOCUMENTATION
In order to prepare gift tax returns, you will need to compile a list of all gifts made in 2001, including the date, type, value, cost basis and name of donee for each gift and a list of all taxable gifts prior to 2001. If you have transferred real estate, you will need to obtain a real estate broker's letter reflecting the fair market value of the property on the date of transfer.
SEEK PROFESSIONAL COUNSEL
We recommend that you contact our law firm or your accountant to assist you in this matter. If you have any questions, please do not hesitate to contact Frank L. Buquicchio, Esq. at 631-582-1919 or legal assistant, Denise Ruddock at 516-683-1717. We look forward to providing you with our services.
PROPOSED LEGISLATION
Awaiting President's Signature
ESTATE TAX CUTS ARE ON THE WAY
1. The Estate Tax Exclusion Amount will Increase in Stages
| 2002 | $1,000,000 |
| 2004 | $1,500,000 |
| 2006 | $3,000,000 |
| 2009 | $3,500,000 |
2. The Top Estate Tax Rate Will Decline from 55% to 45% by 2009
3. The Estate Tax Will Be Eliminated in 2010
4. The Estate Tax Rate May Come Back in its Entirety in 2011, if Congress Fails to Enact Permanent Repeal by 2011.
If you have a taxable estate (assets in excess of $675,000), you should immediately have your plan reviewed to take advantage of these new tax law changes
RONALD SPIRN - RECEIVES CERTIFICATION IN ELDER LAW
Congratulations. The National Elder Law Foundation has certified Ron in Elder Law for successfully completing the examination. He now joins Vincent as part of a select group of certified elder law attorneys in the country.
2000 GIFT TAX RETURNS
If you have made gifts in 2000 to individuals (other than to a spouse) and/or to trusts you may have to file a gift tax return.
WHO MUST FILE?
You are required to file Federal gift tax returns on or before April 15, 2001 for gifts made by you in excess of $10,000 per donee.
FEDERAL GIFT TAX
If you have made significant gifts or have used up your federal unified gift tax credit, then you may owe federal gift taxes.
REQUIRED DOCUMENTATION
In order to prepare gift tax returns, you will need to compile a list of all gifts made in 2000, including the date, type, value, cost basis and name of donee for each gift and list of all taxable gifts prior to 2000. If you have transferred real estate, you will need to obtain a real estate broker's letter reflecting the fair market value of the home on the date of transfer.
We recommend that you contact your accountant or our law firm to assist you in this matter. If you have any questions, please do not hesitate to contact Frank L. Buquicchio, Esq. or legal assistant, Denise Ruddock. We look forward to providing you with our services.
DURABLE POWERS OF ATTORNEY
It has become increasingly important that people have comprehensive durable powers of attorney (DPOA). One compelling reason is the "intent to return home" doctrine which preserves the homestead exemption for Medicaid eligibility. The DPOA should have a statement expressing the intent to return home for the principal. This can be a life saver when seeking Medicaid eligibility for institutionalized care.
Proposed Health Care Directive Bill
NYS Assembly in considering a Bill that would: provide Medicaid applicants the opportunity to execute a living will and a health care proxy; provide for inquiry as to existing health care directives; require disclosure of directives to providers. On a practical level, I do not understand how this could be effectively implemented. We'll see if this Bill (A02949) is passed.
THE BERNIE AND VINNIE SHOW
New York Medicaid and Elder Law Planning Update 2001
On May 17th in Melville, Vincent along with Bernie Krooks will present and interactive one-day seminar on elder law and long term care planning in today's changing environment. This seminar is Certified for Continuing Education credits for Nursing Home Administrators, Attorneys, Insurance Licensees and Certified Financial Planners. For more information, call us.
Correction: the SEVENTH ANNUAL THERESA AWARDS DINNER
Is April 27th at The Sands in Lido Beach.
GRANDPARENTS VISITATION RIGHTS STRUCK DOWN!
In the case of Levy v. Levy, a second Brooklyn judge has announced a decision to strike down as unconstitutional New York's Domestic Relations Law Section 72 giving grandparents standing to sue for child custody or visitation rights. The court held that the only time in which a parental objection should be overridden is where the grandparent can show the parent is unfit.
Elder Care Tax Cut Proposed In Senate
As part of the proposed tax cuts, the Senate Plan would expand the program to allow for a state personal income tax credit of 20% of the expenses incurred for the care of an elderly relative. We expect to see income tax reduction legislation passed in the next six weeks.
SEVENTH ANNUAL THERESA AWARDS DINNER
April 28th at Sands in Lido Beach
I am pleased to announce that this year's honorees of the Theresa Award for Community Service is Rene H. Reixach and Laury Adsit Gelardi. Rene has been involved in several leading elder cases including Robbins v. Debouno. Laury is the director of the National Academy of Elder Law Attorneys (NAELA) and the National Association of Geriatric Care Managers (NAGCM). Both have made outstanding contributions to the lives of seniors and people with disabilities.
For more information on how you can support the Foundation or if you would like to support or attend our Awards Dinner, call me at 516-683-1717 or fax me at 516-683-1742.
HCFA CLARIFIES- MEDICAID COUNTY TO COUNTY
By letter dated 12/4/2000, HCFA has made it abundantly clear that the local counties cannot require the family to reapply for Medicaid solely based upon a move to a new county.
MEDICAID LIENS MUST BE SATISFIED
The Court of Appeals in the Santiago and Gold cases has just issued its decision that the Medicaid lien must be satisfied in full even if against an infant, overruling Baker v. Sterling. For more details, call us.
2000 GIFT TAX RETURNS
If you have mad gifts in 2000 to individuals (other than to a spouse) and/or to trusts you may have to file a gift tax return.
WHO MUST FILE?
You are required to file Federal gift tax returns on or before April 15, 2001 for gifts made by you in excess of $10,000 per donee.
FEDERAL GIFT TAX
If you have made significant gifts or have used up your federal unified gift tax credit, then you may owe federal gift taxes.
REQUIRED DOCUMENTATION
In order to prepare gift tax returns, you will need to compile a list of all gifts made in 2000, including the date, type, value, cost basis and name of donee for each gift and list of all taxable gifts prior to 2000. If you have transferred real estate, you will need to obtain a real estate broker's letter reflecting the fair market value of the home on the date of transfer.
SEEK PROFESSIONAL COUNSEL
We recommend that you contact your accountant or our law firm to assist you in this matter. If you have any questions, please do not hesitate to contact Frank L. Buquicchio, Esq. or legal assistant, Denise Ruddock. We look forward to providing you with our services.
GUARDIANSHIPS UNDER ATTACK IN SUFFOLK COUNTY
In a recent case, DSS Suffolk County has denied a medicaid application for nursing home care on the basis that a joint bank account is an available resource even when the medicaid applicant is mentally incapacitated. In this particular case, a guardianship proceeding has been commenced and it is our position that Medicaid must be approved until a guardian is appointed and the assets are made available. DSS Suffolk County has taken the position that the co-owner (in this case the medicaid applicant's daughter)should make the funds available to pay for the nursing home care, disregarding the fact that a Guardianship proceeding has been commenced.
There is no basis in law for this position. These monies are clearly the medicaid applicant's. The daughter has no legal obligation to use these funds for her mother. What is particularly upsetting in this case is that the daughter is disabled and the Guardianship Court has now authorized an exempt transfer of the medicaid applicant's assets to the daughter.
A fair hearing has been scheduled. We will keep you apprised of this case.
IN-HOUSE TRAINING ON ELDER LAW
Vincent is pleased to announce that he is available to provide in-house training at your facility or agency. There is no cost to you. The training can be an overview of elder law or it can focus on one or more topics that are of interest to you. Don't hesitate to take advantage of this opportunity.
RUSSO ON NBC TODAY SHOW -- THE VIDEO IS AVAILABLE
On October 25th last year, Vincent was interviewed by Matt Lauer on the Forever Young Segment of the NBC Today Show. The topic: how to protect assets in the event of a catastrophic illness. The video is available for free by calling Sue Tame at the law firm. We are happy to make it part of your library.
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