Quote:
Originally Posted by HarryT
You don't get the choice of whether to pay it or not. In the UK at least, the assessed tax is taken from the estate before the residual value is distributed to the heirs, and I believe the same is true in other countries, too. The executor of the estate would end up in court charged with tax evasion if the inheritance tax were not to be paid.
|
I remember reading an article talking about the tax issues for Prince's heirs. I find the idea that people owe taxes on sometime before the money is earned rather counter intuitive. I would have thought that you pay taxes on the actual value of the estate and then taxes on the royalties when they come in, not what someone thinks the future royalties might be, but hey, here in the US, the IRS is judge, jury and executioner with regards to taxes, so they get to make up the law as they go.
Of course, each country has it's own tax laws.