Estate planning is the act of preparing for the transfer of a person's wealth and assets after his or her death. Assets like life insurance, pensions, real estate, cars, personal belongings, valuables, etc. are all part of one's estate. Estate plans which include making of WILL must be written, signed, witnessed and preferably registered.
Estate planning is for everybody, not just the wealthy. Without an appropriate estate plan, friends and relatives can spend a lifetime (and their life savings) battling over the assets of the deceased.
With the global tax scenario becoming dynamic as ever and governments getting keener to shore up their fledgling tax kitties, it is of utmost importance that one remains aware that certain scenarios can attract Estate or inheritance taxes and plan in advance for the same. We are listing below a few situations in which one should be more careful and rule out the applicability of any of these levies, or alternatively, plan towards most efficient pay-outs:
