Potentially. Federal estate and gift tax rules can apply when business interests or other property are transferred during life or at death. Maryland tax rules may also affect an estate depending on the circumstances.
Taxes can be especially important for a family whose wealth is concentrated in a business. A valuable company does not necessarily mean the family has enough cash available to pay taxes, debts, or administration expenses.
The Internal Revenue Service provides current information about federal estate and gift taxes.
Business owners should consider working with their estate planning attorney, accountant, and financial professionals to understand how current tax rules may apply to their situation.
