Wealth Strategies Journal

Do More, Better, Faster

Category: Estate & Gift Tax Developments (page 1 of 6)

Leimberg.Update.2017.08.09: International Update, No Taxable IRA Distribution where Funds Not Accepted by IRA Custodian & More

Mary Vandenack on McGaugh v. Commissioner – Seventh Circuit Finds No Taxable IRA Distribution Where Taxpayer Wired Funds to Purchase Stock IRA Custodian Refused to Accept Steve Leimberg’s Employee Benefits and Retirement Planning Newsletter Issue:679    07-Aug-17

Steve Leimberg on Rosen v. Prudential: ERISA Fiduciary Duty Charges Dismissed Steve Leimberg’s … Continue reading

Rutkoske v. Commissioner: Tax Court Denies Farmer Conservation Easement Donation Deduction

in Rutkoske v. Commissioner, 149 T.C. No. 6 (Aug. 7, 2017), the Tax Court denied the conservation easement donation deduction to farmers.  The Tax Court Summary is as follows:

In 2009 a limited liability company (LLC) in which Ps were members owned 355 acres of land (property) that it leased to

Continue reading

PLRs 201731010 + 201731005: GSTT Exemption Allocated to Trust

In PLRs 201731010 + 201731005, the Service allocated GSTT exemption to the trusts in question. The key facts of each, which are identical, are as follows:

On Date 1, in Year 1, Husband created Trust. Trust is an irrevocable trust for the benefit of Husband’s descendants. On Date 2, in … Continue reading

Estate Planning Highlights of the 2017 Texas Legislature by Gerry W. Beyer

Gerry W. Beyer, Texas Tech University School of Law, has made available for download his article, Estate Planning Highlights of the 2017 Texas Legislature. The Abstract is as follows:

This article reviews the highlights of the legislation enacted by the 2017 Texas Legislature relating to the Texas law of intestacy,

Continue reading

PLR 201729013 and 201729014: CRT – College Endowment Units In CRT Won’t Cause UBTI to College or Trust

In PLR 201729013, the IRS ruled that a contractual arrangement under which a college will issue units in its endowment fund to a CRT, make payments on the units, and be reimbursed to cover costs allocable to the management of the endowment or administration of the CRT, will not generate … Continue reading

Gans + Blattmachr: FLPs + 2036: Not Such a Good Fit – Examination of Powell Tax Court Decision

Mitchell Gans & Jonathan G. Blattmachr have made available for download their forthcoming ACTEC Journal article, “Family Limited Partnerships and Section 2036: Not Such a Good Fit.” The abstract is as follows:

The IRS has struggled to close down abusive family limited partnerships. At first unreceptive to IRS arguments, the

Continue reading

PLR 201724007: Ruling on Timing of Gift Splitting + GST Allocations

In PLR 201724007, the Service ruled that  gift-splitting and GST tax decisions made for one year were irrevocable due to the statute of limitations, but because the statute had not expired for a subsequent year reallocations could be made.

See full PLR 201724007 by clicking here.

Posted by Lewis J. Continue reading

IRS Provides Simplified Method to Request Portability Election Extension

The Journal of Accountancy reports that the IRS has provided a simplified method of making portability elections in Rev. Proc. 2017-34.  The Journal of Accountancy summary begins as follows:

In a taxpayer-friendly development on Friday, the IRS issued guidance permitting certain estates to make a late portability election if

Continue reading

Est. of Nancy H. Powell: Transfer to Limited Partnership Includible in Estate

In the Estate of Nancy H. Powell, 148 T.C. No. 18, filed May 18, 2017, the Tax Court held that limited partnership interests were includible in decedents estate. The abstract is as follows:

On August 8, 2008, D’s son, J, acting on her behalf, transferred cash and securities to LP,

Continue reading

PLR 201719008: Court Ordered Termination Doesn’t Cause GST Tax

In PLR 201719008, the Service ruled that a court-approved termination of a trust will neither cause a beneficial interest to be shifted to a beneficiary who occupies a generation lower than the beneficiaries who held the interests prior to the termination, nor extend the time for vesting of any beneficial … Continue reading

PLR 201710016: Extension Granted for Carryover Basis

In PLR 201710016, the Service granted an estate of a 2010 decedent an extension to file Form 8939, “Allocation of Increase in Basis for Property Acquired from a Decedent,” and thereby make a section 1022 election.

See PLR 201710016 by clicking her.

Posted by Lewis J. Saret, Co-General Editor, … Continue reading

Portability Extensions Granted (Released 3.3.2017)

The Service released on March 3, 2017, the following portability extension grants:

Posted by Lewis J. Saret, Co-General Editor, Wealth Strategies Journal.

PLR 201709020: Ruling on Proposed Modification Re S Corp Assets

In PLR 201709020, the Service ruled on the tax consequences of a transaction proposed by an irrevocable trust’s trustee to create eight separate trusts governed under the trust agreement for a family trust and each of the grantor’s children and to allocate assets transferred from the irrevocable trust to the … Continue reading

Portability: Good Cause Portability Extensions Are Possible

Tax Notes reports that Karlene Lesho, Brach 4 senior technical reviewer, IRS Office of Associate Chief Counsel (Passthroughs and Special Industries), stated that estates that fail to make timely extensions requests for portability may be able to seek good cause extensions.  Her comments were made at a session of the Federal Bar … Continue reading

Sharon Klein: The State of the States: 2016

Sharon Klein, of Wilmington Trust, has made available for download her article, The State of the States, published in the January 2017 edition of Trusts & Estates Magazine and provides a comprehensive overview of key state-level planning developments across the U.S., including:

  • Estate and gift tax developments.
  • Planning considerations for
Continue reading
Older posts