MADA is thrilled to commemorate our 100 years - Media ...

assets. Your legacy asset could be a low-basis security that has
done very well for many years or a piece of real estate that has
been in the family and that you may or may not wish to retain
in the family. At the same time, you may be carrying over
capital losses from unsuccessful investments that can offset
current year capital gains. To achieve maximum tax efficiency,
sell the asset now to pay only a 15% long-term capital gain
rate or gift it. For example: sell the security now to lock in the
gain at the lowest historical tax rates. If you want to retain the
security in your portfolio you can repurchase it immediately
at the current market price. In the gifting scenario, you have
removed it from your estate where its future value would be
taxed at up to 55% as opposed to a 35% maximum gift tax.
This results in significant estate tax savings that are increased
when spouses split gifts to recipients. Review your estate assets
and estate planning to protect your intentions towards
your loved ones and avoid the wealth destroying effects of the
decrease in the estate exemption from $3.5 million to $1 million
per individual ($5 million per couple) and the increase in
the estate tax rates.
For more information contact: James A. Tortorella, CPA, Councilor Buchanan
& Mitchell, P.C. (CBM), Executive Vice President & Director of Dealer Services
at 301-986-0600 or JTORTORELLA@CBMCPA.COM. Councilor, Buchanan
& Mitchell, P.C. (CBM) is a CPA firm and business advisor that has provided
services to dealerships since 1921.
You know your
dealership. You need
a banker who knows
everything about
financing it.
> James Engel
Vice President
Commercial and Floor Plan
Relationship Manager
301-493-5900
> Stephen M. Garton
Senior Vice President
Indirect Retail Sales Finance
National Sales Manager
1-800-433-0067
©2009 The PNC Financial Services Group, Inc. All rights reserved. Member FDIC CON PDF 1209-060
Maryland Automobile Dealers Association 12