All Blog Posts

State Judicial Reformation of Trust Sufficient to Prevent Asset Inclusion for Federal Tax Purposes

A state law provision that enables a court to reform errors in a trust document was sufficient for IRS purposes under I.R.C. § 2041 to prevent the inclusion of the trust assets in the estate.  While letter rulings are, of course, limited to their facts, this is generally good news for the correction of errors and the implementation of tax-planning in Tennessee.

[Read more…]

Making Charitable Distributions from IRAs

Charitable distributions from an IRA provide a tax benefit for eligible senior citizens, but the rules can be tricky.   [Read more…]

Don’t Forget to Define Separate Property in Your Prenup

Many prenuptial agreements contemplate that one spouse will receive alimony, and it is difficult to imagine a prenup that does not establish an intention to delineate between separate and marital property.  However, a failure to define terms can result in confusion.  The recent Tennessee Court of Appeals case Seifert v. Seifert presented just such a situation. [Read more…]

Avoiding Private Foundation 507(c) Termination Tax Means Less Pain for the Gain

Becky Farr Seidel of the Leaffer Law Group wrote a great piece recently for Bloomberg BNA’s Estates, Gifts and Trusts Journal addressing issues in terminating private foundations.  Here are some salient points, and you can read the entire article here[Read more…]

Guidance Issued for Private Foundations with Foreign Grantees

New guidance for private foundations from the IRS addresses treatment of foreign grantees.  The groups may wish to treat grants to foreign grantees as qualifying distributions that satisfy the minimum distribution requirements rather than as expenditures requiring expenditure responsibility.  [Read more…]

No Medical Deduction for IVF Expenses; I.R.C. § 213 Doesn’t Apply for All Surrogacy Situations

Under I.R.C. § 213, a deduction is available for medical services provided to a taxpayer, his/her spouse, and dependents.  But this doesn’t mean that all  IVF procedures and other pregnancy-related costs are covered simply because the taxpayer’s dependent is ultimately conceived by virtue of the procedures…

[Read more…]

How Trump’s Tax Proposal Affects You

Trump’s new tax proposal makes some changes that could affect your estate planning.
[Read more…]

Proposed Minority Discount Regulations Bite the Dust

Practitioners had been worried that the Section 2704 proposed regulations were going to affect minority discount valuations for gift and estate tax purposes.  Worry no more. [Read more…]

Timing, Sophistication of Parties Key Factors in Prenup Enforceability

The Tennessee Court of Appeals recently reinforced longstanding principles in determining the enforceability of prenuptial agreements. Among the factors a court examines carefully in determining whether a prenup will be upheld are the timing of the presentation of the document and the relative experiences of the parties in terms of age and educational background.  Failure to account for these differences can be fatal to enforceability, since the party seeking to have a prenup enforced bears the burden of proof. [Read more…]

Annual, Estate Tax Basic Exclusions Predicted to Increase

As we approach 2018, Bloomberg BNA predicts that we’ll be able to make an additional $1,000 in tax-free gifts, for a total of $15,000 per donee in 2018.  And, the estate tax basic exclusion amount will increase to $5.6 million for decedents dying in 2018.  This is up from $5.49 million in 2017.

Post by: Jillian Mastroianni

Return to the main blog page.