Newsletter NJ Laws by Kenneth Vercammen, Esq.: E633 Newsletter

E633 VercammenLaw News

1. Estate Planning 2022 Federal Tax Update

2. Terroristic Threat statute unconstitutional where it criminalizes speech

3. OPRA could apply to criminal & DWI complaints

4. Wills and Power of Attorney available for members of Metlife Legal Plan

1. Estate Planning 2022 Federal Tax Update

As Americans start the new year, this highlights estate planning-related federal tax information that may be helpful as you consider planning options for 2022. Because Congress could pass legislation that changes this information during the year, you should contact your estate planning attorney for advice prior to taking any transfer tax planning action.

Lifetime Exclusion Increases to $12,060,000: As of January 1, 2022, the federal gift and estate tax exclusion amount, as well as the exemption from generation-skipping transfer (GST) tax, (collectively, the “transfer tax exclusion amounts”) have increased by $360,000 from $11,700,000 to $12,060,000 ($24,120,000 for a married couple). Please note, however, that the transfer tax exclusion amounts are scheduled to decrease on January 1, 2026, to $5,000,000 adjusted for inflation.

Annual Exclusion Increases to $16,000: As of January 1, 2022, the federal gift tax annual exclusion amount (i.e., the amount that an individual can annually transfer to another individual without using any lifetime gift tax exclusion or paying any gift tax) increased by $1,000 from $15,000 to $16,000 ($32,000 for a married couple).

Required Minimum Distributions: New life expectancy tables used for determining required minimum distributions (RMDs) from IRAs and qualified retirement plans went into effect as of January 1, 2022. These changes impact traditional (non-Roth) IRA owners who have reached their Required Beginning Date for taking RMDs, qualified retirement plan participants who have reached their Required Beginning Date for taking RMDs, and beneficiaries of an inherited IRA or qualified retirement plan. Please contact your plan administrator or financial advisor regarding how to compute your RMDs for calendar year 2022 using the new tables.

Step-Up in Basis: Under current federal tax laws, the income tax basis of property acquired from a decedent generally is adjusted to the fair market value of that property as of the date of the decedent’s death (often referred to as a “step-up” in basis at death). Although there were proposals in Congress to change this, Congress did not pass those proposals in 2021, so the step-up in basis at death remains in effect for 2022.

Federal Estate Tax Portability: The ability to transfer a decedent’s unused federal estate tax exclusion amount to the decedent’s surviving spouse by filing a federal estate tax return (often referred to as “portability”) remains in effect for 2022.

More info https://www.jdsupra.com/legalnews/estate-planning-2022-federal-tax-update-3089325/

2. Terroristic Threat statute unconstitutional where it criminalizes speech State v Fair

Defendant was charged in a one-count indictment with violating N.J.S.A. 2C:12-3(a) "and/or" (b). At trial, the jury was instructed that it could convict if it found defendant made a threat with "the purpose to terrorize" or with a "reckless disregard" of the risk of causing terror, under N.J.S.A. 2C:12-3(a), or if it found defendant threatened to kill "with the purpose" to put the victim in imminent fear of death, under N.J.S.A. 2C:12-3(b). During deliberations, the jury asked whether it was required to find a violation of both subsections (a) and (b); the judge responded one was enough but did not instruct the jurors that they had to unanimously agree on one of the theories to convict. In appealing his conviction, defendant argues N.J.S.A. 2C:12-3(a) violates the First Amendment in part and that the jury unanimity instructions were erroneous.

The court reversed, determining that N.J.S.A. 2C:12-3(a)'s "reckless disregard" standard is unconstitutionally overbroad and that the jury instructions did not adequately ensure against a patchwork verdict. (A-0913-19)

3. OPRA could apply to criminal & DWI complaints Simmons v. Mercado & City of Millville

Because Millville MPD officers create the information contained in the CDR-1s, the CDR-1s fall well within OPRA’s definition of a government record. Further, AADARI’s records request is narrowly tailored and would not constitute research beyond OPRA’s scope.

Because Millville City officers create the information contained in the CDR-1s, the Complaint Summons CDR-1s fall well within OPRA’s definition of a government record. Further, AADARI’s records request is narrowly tailored and would not constitute research beyond OPRA’s scope.

Thus, regardless of who maintains the files, the fact that police “makes” the CDR-1s means that it can be called upon to disclose those government records. Nothing in the text of OPRA or Rule 1:38 or the Court’s jurisprudence suggests that information cannot be both a court record and a government record. Indeed, the language of the statute that defines a government record as one that has been “made, maintained, or kept on file” itself suggests the possibility that different government entities, working cooperatively, could be simultaneous custodians of the same information. The statutory language presupposes that there may be more than one proper place where a requestor can submit an OPRA request. That the Judiciary might maintain on its servers the information that MPD made does not absolve MPD of its obligation to produce that information pursuant to a proper OPRA request made to MPD.

4. Wills and Power of Attorney available for members of Metlife Legal Plan

The Law Office of Kenneth Vercammen serves as a New Jersey Access Attorney for Metlife Legal HYATT Plan and several other major national legal service plans. We prepare Wills, Powers of Attorney and Living Wills covered employees of following companies:

· American Express

· Barclays Service Corporation

· FedEx

· Bank of America

· Compuware

· Home Depot

· J.P. MORGAN CHASE

· JPMorgan Chase

· KPMG

· MetLife

· PepsiCo

· UPS

· Comcast/ News 12 NJ

· Deloitte LLP

· Ernst & Young LLP

· Yum! Brands

· Wakefern

For covered employees, they will be entitled to a free Will for them and spouse, Power of Attorney for husband & wife, Living Will husband & wife, Testamentary Trust within a Will for minor children. There is also representation for certain Traffic Offenses in NJ.

What Metlife Legal members can do to get started…

Metlife members should call Metlife legal at 800.821.6400 to obtain an authorization numbers for each Will, Power of Attorney, Codicil and Living Will you want.

Members can also obtain authorization numbers online at https://members.legalplans.com/Home/

After obtaining an authorization number, call Kenneth Vercammen’s Law Office for a free confidential consultation and preparation of Wills and estate planning documents- all free to Metlife members