Estate and Gift Tax Planning in an Uncertain Political Landscape

The past year has been filled with proposals of various kinds aimed at raising taxes on wealthy individuals.  Many of these potential changes directly impact the future of estate and gift tax planning in a dramatic way.  This program will discuss the relevant proposals, their potential implications and, in light of the uncertainty and potentially short window to plan for such changes, cover various strategies that should be considered to maximize planning opportunities before the window closes.

Proposed changes covered will include:

• Top income tax marginal rate changes, capital gains rate increase, adjustments to application of the net investment income tax, limitations on the 199A qualified business income deduction;
• Potential MEGA-IRA contribution limitations for high income taxpayers, new required minimum distributions for certain MEGA IRAs;
• Reduction of the estate and gift tax unified credit amount, rate changes;
• Changes to grantor trust rules – inclusion in the gross estate; distributions treated as gifts; sales treated as third-party transactions;
• New limitations on valuation discounts in transferring passive assets;
• Basis step-up changes and interplay with proposed new rules;
• Proposed effective dates of changes and implications.

Strategies this program will cover include:

• Implementing IDGTs, SLATs and other gifting trusts;
• Adding flexibility to planning: QTIP trusts, use of promissory notes, formula clause gifts, disclaimers in gift planning;
• Using LLCs to leverage gift tax exempt through discounting;
• GRATs, QPRTs, Charitable trusts and other statutory trusts;
• Review of and potential modifications to existing gifts/trusts – pre-paying ILIT premiums, paying off or forgiving existing promissory notes with trusts; turning off grantor trust status, distributing assets from grantor trusts

Workforce Training Express Fund Course #1133174  Apply for a maximum 100% reimbursement: Express Program – Workforce Training Fund

Speaker Bio:  Luke Bean is a partner at Rico, Murphy, Diamond & Bean LLP. He focuses his practice on Estate Planning and Estate and Trust Administration. He has extensive experience with all levels of estate planning, from simple will and revocable trusts to sophisticated techniques involving charitable giving and lifetime transfers using irrevocable trusts for tax reduction or asset protection purposes. He also offers income and estate tax minimization strategies as well as advice on the often intertwined corporate, real estate and tax issues involved in the development and execution of a fully inclusive and effective estate plan. Luke also has an extensive background in representing fiduciaries and beneficiaries through the estate and trust administration process, helping clients navigate the probate process, tax considerations and fiduciary obligations. Luke provides his clients with practical advice and reasonable solutions, using his tax background to guide clients through their options. In his free time, Luke enjoys hiking and is an avid Penn State football fan.

Registration Form: 

2021 Fall CPE Registration Form.1.pdf