Page 24 - Successor Trustee Handbook

Obtain appraisals of the value of the Trust assets as of the date of
death. (You may also have to value assets outside of the Trust in which the
Trustor may have had an interest, such as those held in the Trustor’s name
alone or jointly with others). These valuations should be done by qualified
appraisers wherever possible, particularly with respect to any real estate. The
attorney may assist you with choosing appropriate appraisers. A financial
advisor may be able to assist you with the valuation of any stocks, bonds,
mutual funds, limited partnerships and any other investments traded on
markets. You may or may not need an appraisal of the Trustor’s personal
property around the house, antiques and jewelry (you should make this
decision with the assistance of your attorney). All these valuations will
determine whether or not an estate tax return is due (which may be the case if
the estate exceeds a certain size, even though there may be no federal estate
taxes due upon the death of the first spouse). These valuations will also be
necessary for purposes of determining whether the establishment and funding
of the sub-trusts is warranted and will need to be used during the allocation
of assets between those sub-trusts. Finally, even if no estate tax return is due
and no sub-trusts are to be established and funded, these valuations will be
important for future capital gains/income taxes of the Surviving Spouse or
other beneficiaries. Note: If the Trustor of the Trust owned assets in another
state, a state inheritance or estate tax return may also be due there and, in
rare cases, there may even be some taxes to be paid to that other state.

Now, go ahead and read the rest of this Manual, beginning with the
Chapter, “Reviewing the Trust (and Other Estate Plan Documents)”. Before
you proceed, it’s a good idea to schedule your free initial consultation, if
you qualify, with Family First Firm, unless you have already done so!

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