When you form a power of attorney, of course you sign it. It is witnessed and notarized. Also, we always recommend that it be filed with the local register of deeds office so that it goes in public record. That is not a requirement but highly recommended. Therefore, to revoke that same power of attorney, a written revocation should be prepared, signed, witnessed and notarized. If your power of attorney was filed, then the revocation should also be filed.
Can The IRS Ever Be Bargained With?
The phrase “bargain with” is a phrase that can be interpreted in many different ways. We cannot bargain with the IRS as two people would bargain over the price of a car. However, the IRS can be convinced, sometimes, to lower the amount of taxes that are paid or to forgive penalties and things like that. But to do that, it has to be based on the financial situation of the taxpayer and the assets owned by the taxpayer. But if the financial conditions warrant, yes, we can bargain with the IRS to lower the amount of taxes or to spread out over a time the amount that should be paid periodically.
What Are The Basic Items In An Estate Plan And What Does Each Item Do?
At the Greene Law Firm, in our estate plan, we have five basic elements. The first element is the trust, and this can be a revocable trust or an irrevocable trust and it is the family trust. It tells what you want to happen while you are alive and also after you die for up to one or two generations after you. So, it is a very comprehensive document, the roadmap for the future, for your future and the future of your children and grandchildren. Then, there is a will that we call a Pour Over will. All that does is to say if I left anything out of my trust, I want it immediately put into my trust to be dealt with by the trust after I die. Then, we have a durable power of attorney. This is where you give someone, a trusted person, the right to handle your business affairs and regular lifetime affairs if you cannot do so.
That is the durable power of attorney. Then, we have the living will, also called the Declaration Of A Desire For A Natural Death. That is simply you saying “Do I want to pull the plug or not, how long and how much effort I want to be taken to keep me alive if I am in a vegetative state.” The final document is the healthcare power of attorney and it basically works like the living will, only it goes into more detail as to how much nutrition and hydration you want to be given if you cannot make those decisions yourself.
What Is The 5-Year Rule Concerning Medicaid?
When it comes to qualifying for Medicaid purposes, the US government has the ability to look back five years at any assets that may have been under the control of the person seeking Medicaid coverage. So, what that means is that when you apply for Medicaid, the program has the ability to look at any assets that you have had that you no longer have claim to and determine whether or not they should be counted or can be counted towards whether or not you do qualify. It is important to note that even if the assets are transferred to a revocable or irrevocable trust within five years of needing Medicaid, then Medicaid can count those assets in determining eligibility. If that is done outside of the 5 years, then the Medicaid program cannot consider those assets.
The program also considers things like cash disbursements to relatives or giving away property within 5 years, they may look at those things and say, “You really just did that for the purposes of attempting to qualify for Medicaid. So, therefore, we are adding them back in and counting it to your asset value in determining whether you will or will not qualify”. It is that 5-year limitation.
What Is A Special Needs Trust?
A Special Needs trust can be looked at as an additional provision that extends the purpose of an ordinary trust. The special needs trust is typically created with a specific person or relative in mind. These beneficiaries of the trust do have special needs, whether it be a physical or mental condition where they have reoccurring for the foreseeable future certain type of either hospital bills, treatment costs, prescriptions because of their condition. So, therefore, a special needs trust can be created so that certain funds of the person creating the trust can be put towards the use of this person’s special need. Unlike in a regular trust, if you just designate the money to a specific beneficiary, while you can still control how they receive it, it also does not completely control the use for medical purposes.
A Special needs trust also is beneficial in the sense that when these assets are transferred or given to the special needs beneficiary, they are not considered as far as classification or qualification for things like Medicaid. So, that way, the beneficiary of the special needs is still open to receiving government funding or special funding in addition to what is being provided to them through the special needs trust.
For more information on Revoking Power Of Attorney In SC, a free initial consultation is your next best step. Get the information and legal answers you are seeking by calling (864) 271-7940 today.