Updated July 21, 2015
What is splitting the Estate in Chicago Illinois?
Splitting the estate basically means that each individual member of the marriage has their own estate.
This means that the estate tax credit, below which you are not subject to estate taxes, simply doubles. This also means that the assets must be split up. In other words these particular assets are titled into his name only, and those are titled into hers. Both have individual wills. So when one passes, the estate is probated and the assets are distributed.
Why is this important? Everything over the individual tax credits are taxed roughly in the 55% range. Doubling the credit saves enormous amounts of money.
If you are asking this question in the first place-What is splitting the Estate in Chicago Illinois? then its probably time for a new accountant.
Additional Accounting Articles and information on my firm can be found at
Chris Amundson is the President of Accounting Solutions Ltd., a full service public accounting firm of Certified Public Accountants and Enrolled Agents handling the bookkeeping, accounting, tax preparation, and audit representation needs of Businesses, Estates, Trusts, and Upper Income Individuals.