State estate tax and living trusts

[Natalie Sun]

Jurisdiction

Washington

I currently live in Washington State and will be moving to a state that does NOT have a state estate tax. However, my living trust was created in Washington State. When I sell my home in Washington and move states, will I need to get a new living trust to avoid Washington State's estate tax?

My trust includes many references to Washington State statutes (RCW), but I'm not sure how much this matters.

 

[army judge]

I currently live in Washington State and will be moving to a state that does NOT have a state estate tax. However, my living trust was created in Washington State. When I sell my home in Washington and move states, will I need to get a new living trust to avoid Washington State's estate tax?

My trust includes many references to Washington State statutes (RCW), but I'm not sure how much this matters.

Sorry, mate, but for a definitive answer on this one; you should consult a tax attorney or a CPA.

The only thing you'll do by seeking free advice is create a FUBAR of epic proportions.

There are just too many unknowns, especially with trusts (because trusts are very complicated and specific beasts), as each person's tax and financial situation is very different.

 

[Michael Wechsler]

When I sell my home in Washington and move states, will I need to get a new living trust to avoid Washington State's estate tax?

As @army judge mentions, we can discuss these issues informally but questions of this nature where the amounts in question exceed hundreds of thousands of dollars - and potentially over $1 million - are best left to a private consultation with a tax attorney or accountant. The question involves the law in multiple states and assets which we have almost no information about and which can change the answer dramatically. This is also the case when you own more than one home or parcel of real estate. I typically find some quick tax responses interesting but rarely useful if they don't definitively answer the question.