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Questions Answered by David Ostrove
1 Answer | Asked in Tax Law for Rhode Island on
Q: In Rhode Island, if I acquire 100% interest in a tax sale, is the mortgage wiped? What if <100% is acquired?
David Ostrove
David Ostrove
answered on May 6, 2020

In some states, you may ask the county to remove the mortgage lien.

In some states, all liens junior to the tax lien are wiped out.

There are circumstances where a mortgage lien may survive.

You should ask a lawyer who does property law in your state.

1 Answer | Asked in Tax Law and Wrongful Death for South Carolina on
Q: My mother is receiving a settlement for my father's wrongful death. Can she gift that money to her children tax free?

She would like to disperse the money to the six children when she gets the settlement, but is concerned we will have to pay taxes.

David Ostrove
David Ostrove
answered on May 4, 2020

Typically, if the amount your mother received was for bodily injuries, it is not subject to income tax. Any portion for loss of income typically is subject to income tax. Depending on the amount of the award, if your mother gifts it to her children, there is no gift tax. It depends on the amount... View More

1 Answer | Asked in Tax Law for Washington on
Q: Does my WA LLC need to register for a state tax ID if we won't be making any gross income?

I have registered a WA state LLC just recently, and will be working with 1 other colleague. I have also obtained a federal tax ID.

However, we won't be making any money for a while. Is it necessary to get a state tax id if we will not have any gross income? I know washington has a... View More

David Ostrove
David Ostrove
answered on May 3, 2020

The State of Washington probably requires an annual report from your LLC and an annual fee of $71.00

You should consult a State of Washington Lawyer when you set up an entity such as an LLC.

The profits and losses of your LLC pass through your LLC to the owners of you LLC.

3 Answers | Asked in Probate for California on
Q: Dad left house to me & my brother. My brother died & my my dad died 1 week later. Do i get the house or split w his son?

My dad did leave my brothers son money. But the house was instructed specifically to me and my brother to split but my dad died just one week after my brother and didn’t have time to amend the will. He said the house is all mine? Does my nephew have claim to the house?

David Ostrove
David Ostrove
answered on May 3, 2020

A local probate and trust lawyer needs to read the will. It all depends on the terms of the will.

Typically your Dad's will would provide what disposition is to be made if you or your brother predecease your Dad.

You need to take your Dad's will to s probate and trust...
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3 Answers | Asked in Probate for California on
Q: My mom left house equally to me & my sister. My sister died same day as mom. Do i get house or do her kids get half?

Mom has a will leaving both myself and my sister equally 50/50 her house. But my sister and mom both died on the same day. Do i inherit the entire house or is my sisters husband or kids entitled to half of the house? My aunt was assigned the executor of the will. The grandkids were left specific... View More

David Ostrove
David Ostrove
answered on May 2, 2020

It depends on the exact wording in Mom's will. But, under a typical state statute, you would get 1/2 and your sister's children would divide your sister's 1/2 between.

You should talk with local probate and trust lawyer.

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3 Answers | Asked in Probate for California on
Q: my mom notarized a letter, to sell her home (with mortgage) and split proceeds equally with siblings. Is Probate needed
David Ostrove
David Ostrove
answered on Apr 16, 2020

Maybe the letter qualifies as a handwritten will. You need to take it to a lawyer to find out. Maybe the letter could qualify as a trust. I don't know . You need to take it to a lawyer who prepares wills and trusts and does probate and trust work. Maybe the letter qualifies as a deed. You need... View More

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2 Answers | Asked in Probate for California on
Q: California probate

Sister died and now my 2 brothers and I are involved in her probate. One brother wants to continue to live in her house and sell it down the road instead of selling it now and splitting the proceeds. I want to sell it now. Will the probate judge decide which? Can probate close and settle if we... View More

David Ostrove
David Ostrove
answered on Apr 16, 2020

If sister left all of you the house you all own it equally as of the instant of sister's death. Yes, probate court judge will sort it out, if you guys cannot agree.

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2 Answers | Asked in Tax Law for North Carolina on
Q: Tax law... Married filing separately husband left home for 6 months made no contributions to home can he claim kids

He moved out the home, provided no financial support , moved back into the home, and is now living in the garage. We filed joint tax returns for 2018 he filed separately and claimed the kids because he made more money is that legal? Even though the kids and I never left the home and I provided all... View More

David Ostrove
David Ostrove
answered on Apr 11, 2020

Whoever pays more than one half of the support may claim a child as a dependent.

Whoever proves that he/she provided more than 1/2 of the support of the child.

It's a matter of proof, by documents.

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1 Answer | Asked in Estate Planning and Probate for California on
Q: My sister and I are beneficiaries in my dad's life insurance. She had all his property and won't let me get his paperwok

I need his paperwork to get started on seeing what dents he has and so I can get his life insurance to the funeral home.

David Ostrove
David Ostrove
answered on Apr 11, 2020

You are both beneficiaries so you both own the life insurance proceeds. Equally!

You should cooperate with each other with respect to the life insurance policy and its proceeds. Sometimes, in life insurance cases like yours, you need to file a petition in court to sort out any disputes....
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4 Answers | Asked in Estate Planning for California on
Q: How can I insure that the property my husband and I aquired with my inheritance will go back to my family.

We have a 5 unit property that we purchase cash with my inheritance that I received from my mother in Austria. We have no children. We have a living trust, it is named in the trust, but we want it to go back to my family once my husband and I are gone. The way the trust reads is, that everything... View More

David Ostrove
David Ostrove
answered on Apr 9, 2020

Inherited property is your separate property. It is not community property unless you have gifted some of it to your spouse. You may give it t or leave it to whomsoever you intend. It is important that you have maintained title in your name as your separate property and not as community property or... View More

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1 Answer | Asked in Business Law, Tax Law and Gov & Administrative Law for California on
Q: Can a labor union continue collecting dues when it is suspended, and unable to legally conduct business?

Labor union, a non-profit, was suspended in California by the FTB, from October 2018 to May 2019. During this time they continued collecting dues without informing members of suspension status. Union was reinstated, or revived, in May 2019. Was this legal? Are dues collected during this time... View More

David Ostrove
David Ostrove
answered on Apr 4, 2020

A suspended corporation cannot conduct business in California. Such corporation has lost all of its right to conduct business during suspension Once reinstated, it may again conduct business.

1 Answer | Asked in Estate Planning for California on
Q: I believe I can prove undue influence, coercion and fraud for my inheritance. I have no money. What should I do?

I have a ton of information. This is regarding the estate of my aunt and uncle. They have no children. I am their neice and caretaker. This is gross injustice and hard to swallow what should I do?

David Ostrove
David Ostrove
answered on Apr 2, 2020

You need to find a lawyer who will take your case on a contingency basis. This will not be easy to do, in my opinion. Proving undue influence is a difficult, time-consuming task. I wish you luck.

4 Answers | Asked in Probate for California on
Q: Can I just do a notorized letter instead of a will in leaving my house to my child and the deed is in my name?
David Ostrove
David Ostrove
answered on Mar 30, 2020

No. A notarized letter is not a will. A will needs two witnesses. Having a will notarized means nothing, as a matter of law.

You could do a Trust and leave the house without probate to your child. Sign and have it acknowledged by a notary. It could be in the form of a letter as long as you...
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3 Answers | Asked in Estate Planning for California on
Q: My uncle recently passed away and my sister & i live in his house and are both hiers to the estate.

Can the power of attorney evict us?

David Ostrove
David Ostrove
answered on Mar 30, 2020

If you are named as his beneficiaries in his will, then as of the instant of his death, you are the owners of all property left to you in his will. A power of attorney typically does NOT survive after the principal's death.

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1 Answer | Asked in Tax Law for New York on
Q: If I receive publicly-traded stock in lieu of cash for services rendered, how is that taxed?

I assume that I would have to pay short-term capital gains taxes based on the immediate market value, then if I immediately sold it, would I then pay capital gains taxes again based on the original owner's cost basis? Thank you in advance for your insights.

David Ostrove
David Ostrove
answered on Mar 25, 2020

If you received it for services rendered. The value of the Stock is ordinary income to you. And, the value is, therefore, your tax basis. If you sell it at a gain, the difference between your selling price and the value when you received it for services rendered is your capital gain; short term or... View More

2 Answers | Asked in Criminal Law, Federal Crimes and Tax Law for Colorado on
Q: If someone failed to report an entire source of income over 2 years. What’s the chance they will see prison time?

If they have been turned in via 3949a

David Ostrove
David Ostrove
answered on Mar 22, 2020

Unlikely, if you pay the taxes due and all penalties. (Or make a true attempt to cooperate in making restitution.)

Positive efforts to make up all underpayments very important.

If the matter has already been sent to IRS criminal division, contact person in charge, admit underpayment...
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4 Answers | Asked in Estate Planning for California on
Q: For listing assets in a trust, how specific does it have to be? Can I list "Chase Bank account"? Whole account number?
David Ostrove
David Ostrove
answered on Mar 20, 2020

The more detailed and specific the better; (within reason); the location of the bank or brokerage, or property. The balance of dollars is not necessary; But, you do want to make it as easy as possible for the person who will be managing your estate or trust or company to locate and marshall all of... View More

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2 Answers | Asked in Admiralty / Maritime, Banking and Tax Law for Texas on
Q: If a person is employed by a corporation and that person is then released from said corporation unethical

I was misinformed about my job duties, requirements, and compensation by my direct supervisor. When I attempted to gain clarity I was informed that I was being released due to the fact that I was on parole. This information was delivered verbally from company supervisor in corporation's... View More

David Ostrove
David Ostrove
answered on Mar 15, 2020

You are entitled to a fair and complete explanation. You may contact the state labour board and request a hearing. A local labour law attorney who handles employees' claims may be helpful to you. You should request a full explanation from your former employer IN WRITING. Ask for a complete... View More

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1 Answer | Asked in Estate Planning and Probate for California on
Q: How do I get a copy of my dad's will. My aunt has not gave me any info. I've ask numerous of times.

I am my dad's only daughter I have one brother. My dad was a cardiovascular surgeon and my aunt tells me that he didn't ha e nothing g

David Ostrove
David Ostrove
answered on Mar 13, 2020

You are entitled to a copy of your Dad's will. You are an heir at law. You should request a copy in writing If refused and you want a copy, you may need to engage a lawyer who knows probate and trust law in CA.

2 Answers | Asked in Estate Planning for California on
Q: I was left a home in trust. Can I put the home in my name although there is still a 2nd with about 20k left?

I've been paying the mortgage/bills as "the estate of" for 2 years along with the home insurance that's sky high because it's a trust.

David Ostrove
David Ostrove
answered on Mar 6, 2020

If the trust terms provided that the home is distributable to you, you may put it in your name, subject to the mortgage. The terms of the trust control.

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