Family of former Sopranos star facing estate tax nightmare

Almost $30 million of the late James Gandolfini’s $70 million estate could be subject to a massive death tax, reports the New York Daily News.

Gandolfini, the former star of The Sopranos, died of a heart attack while vacationing in Italy, leaving 80% of his estate to his sisters and 9-month-old daughter. That 80% is now taxable and 55% of those taxes are owed in just nine months.

Read: Handle U.S. estate tax exposure

The family likely doesn’t have $30 million cash on hand, so many assets would have to be liquidated to even begin paying this sum.

Gandolfini did have a $7 million life insurance policy, which is exempt from tax. It still isn’t clear whether the future royalties from his television work will go directly to his estate or into a separate trust held by his wife. If they go straight to the estate, they will also be subject to the death tax.

Read the full story here.

Also read:

Death and taxes: what you need to know

U.S. tax law requires strategic planning

Estate planning for Martian pioneers

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.