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#7
03-29-2005, 11:49 PM
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 Re: Prepaid funeral expenses? David Woods, EA, ChFC, CLU wrote: - quote - > "D. Stussy" <kd6lvw[at]bde-arc.ampr.org> wrote:
Where in IRC 2053(a)(1) does it say that the funeral> > toller wrote: > > > My 87 year old aunt paid for her funeral prior to going on > > > medicaid (or medicare; I get them confused, but you know > > > what I mean.) > > > > > Can these expenses be deducted anywhere? > > Form 706. > While I agree that's the only place these expenses are ever > deductible, I would have a hard time taking them there in > THIS instance....seeing as how the taxpayer is still living. > Technically the money is already out of the estate > anyway.... expenses have to come from funds includible in gross estate? It only says that a deduction shall be allowed against gross estate - and here, it is the decedent taxpayer who did pay the amount. I don't see that it matters that he paid it BEFORE passing or after. << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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#6
03-29-2005, 11:49 PM
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| Re: Prepaid funeral expenses? Drew Edmundson wrote: - quote - > "David Woods, EA, ChFC, CLU" <dwoods[at]woods-financial.com> wrote:
I agree that "prepaid expenses" constitute assets. However,> > "D. Stussy" <kd6lvw[at]bde-arc.ampr.org> wrote: > > > toller wrote: > > > > My 87 year old aunt paid for her funeral prior to going on > > > > medicaid (or medicare; I get them confused, but you know > > > > what I mean.) > > > > > > > Can these expenses be deducted anywhere? > > > Form 706. > > While I agree that's the only place these expenses are ever > > deductible, I would have a hard time taking them there in > > THIS instance....seeing as how the taxpayer is still living. > > Technically the money is already out of the estate > > anyway.... > I would guess (and that is all it is) that one would include > the value of the prepaid funeral expense as an asset on Form > 706 and then as a deduction. Nets to zero but I expect it > is proper as the value before deductions is the one used to > determine whether the estate has to file or not. it's not obvious (but very well may be) that it nets to zero, especially when a pre-paid cemetery plot is considered. [Often, a couple will buy a plot together so they can be buried together - and there could be a discount factor involved.] All I'm saying is that a zero-net can't be accepted until further thought and I'm "brain dead" right now! :-) << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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#5
03-27-2005, 11:01 AM
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| Re: Prepaid funeral expenses? toller wrote: - quote - > Can these expenses be deducted anywhere?
No, not for income tax purposes. Note that some prepaidfuneral plans actually pass through INCOME that must be reported pro rata by the participants in the plan. MTW << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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#4
03-27-2005, 10:42 AM
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| Re: Prepaid funeral expenses? "David Woods, EA, ChFC, CLU" <dwoods[at]woods-financial.com> wrote: - quote - > "D. Stussy" <kd6lvw[at]bde-arc.ampr.org> wrote:
I would guess (and that is all it is) that one would include> > toller wrote: > > > My 87 year old aunt paid for her funeral prior to going on > > > medicaid (or medicare; I get them confused, but you know > > > what I mean.) > > > > > Can these expenses be deducted anywhere? > > Form 706. > While I agree that's the only place these expenses are ever > deductible, I would have a hard time taking them there in > THIS instance....seeing as how the taxpayer is still living. > Technically the money is already out of the estate > anyway.... the value of the prepaid funeral expense as an asset on Form 706 and then as a deduction. Nets to zero but I expect it is proper as the value before deductions is the one used to determine whether the estate has to file or not. << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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#3
03-25-2005, 03:31 AM
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| Re: Prepaid funeral expenses? "D. Stussy" <kd6lvw[at]bde-arc.ampr.org> wrote: - quote - > toller wrote:
While I agree that's the only place these expenses are ever> > My 87 year old aunt paid for her funeral prior to going on > > medicaid (or medicare; I get them confused, but you know > > what I mean.) > > > Can these expenses be deducted anywhere? > Form 706. deductible, I would have a hard time taking them there in THIS instance....seeing as how the taxpayer is still living. Technically the money is already out of the estate anyway.... -- David M. Woods, EA, ChFC, CLU Woods Financial Services Norwood, MA 02062 www.woods-financial.com << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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#2
03-24-2005, 01:34 AM
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| Re: Prepaid funeral expenses? toller wrote: - quote - > My 87 year old aunt paid for her funeral prior to going on
Form 706.> medicaid (or medicare; I get them confused, but you know > what I mean.) > Can these expenses be deducted anywhere? << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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#1
03-21-2005, 04:07 AM
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| Re: Prepaid funeral expenses? "toller" <toller[at]yahoo.com> wrote: - quote - > My 87 year old aunt paid for her funeral prior to going on
As what?> medicaid (or medicare; I get them confused, but you know > what I mean.) > Can these expenses be deducted anywhere? -- David M. Woods, EA, ChFC, CLU Woods Financial Services Norwood, MA 02062 www.woods-financial.com << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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03-18-2005, 11:45 AM
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| Re: Prepaid funeral expenses? "toller" <toller[at]yahoo.com> wrote - quote - > My 87 year old aunt paid for her funeral prior to going on
Not from your income tax returns.> medicaid (or medicare; I get them confused, but you know > what I mean.) > Can these expenses be deducted anywhere? -- Paul A. Thomas, CPA Athens, Georgia taxman at negia.net << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
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#-1
03-17-2005, 05:32 AM
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| Prepaid funeral expenses? My 87 year old aunt paid for her funeral prior to going on medicaid (or medicare; I get them confused, but you know what I mean.) Can these expenses be deducted anywhere? << -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << -------------------------------------------------> |
| Tags |
| expenses, funeral, prepaid |
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