Trust Decanting: Income and Transfer Tax Ramifications and Reporting
Continuation vs. New Trust, Gain Recognition Scenarios, Elections, and Filing Requirements
Note: CLE credit is not offered on this program
Recording of a 110-minute CPE webinar with Q&A
This course will provide tax advisers and compliance professionals with a comprehensive and practical guide to the reporting mechanics of trust decanting transactions. The panel will discuss decanting results in a non-reporting event and offer useful tools for determining when decanting causes either gain recognition or a transfer tax reporting and payment obligation.
Outline
- IRS guidance on decanting transactions
- Notice requirements
- Continuation of existing trust vs. the creation of a new trust
- Gain recognition scenarios
- Changing of situs
- Filing requirements
Benefits
The panel will review these and other essential questions:
- Under what circumstances is it preferable to treat the recipient trust as an entirely new trust rather than a continuation of the existing trust?
- What is the impact of a decanting on tax attributes?
- What decanting circumstances require gain recognition to either the distributing trust or the beneficiary/recipient trust?
- What elections are available regarding gain recognition of decanted assets?
Faculty
S. Gray Edmondson
Partner
Edmondson Sage Allen
Mr. Edmondson practices in partnership, corporate, and individual tax planning; business transactions including mergers... | Read More
Mr. Edmondson practices in partnership, corporate, and individual tax planning; business transactions including mergers and acquisitions; business planning; tax controversy; estate and wealth transfer planning; probate; estate and trust litigation; asset protection; and charitable planning. He has conducted, authored, and directed numerous seminars for professional, academic, and civic groups on taxation, business, asset protection and estate planning. Mr. Edmondson works closely with clients to develop and implement such strategies.
CloseEdwin P. Morrow, III, J.D., LL.M. (Tax), MBA, CFP, CM&AA
Wealth Strategist
Huntington National Bank Private Wealth Management
Mr. Morrow is currently the Regional Wealth Strategist for Huntington National Bank's private banking unit, where... | Read More
Mr. Morrow is currently the Regional Wealth Strategist for Huntington National Bank's private banking unit, where he concentrates on thought leadership and planning ideas for high net worth clientele in tax, asset protection, and estate planning areas. Previously, he was in similar positions at U.S. Bank and Key Private Bank's Family Wealth Advisory Group. Prior to working in wealth management, he was in private law practice working in taxation, probate, estate, and business planning. Other experience includes research and writing of legal memoranda for the U.S. District Court of Portland, Oregon as a law clerk
CloseAccess Anytime, Anywhere
CPE credit is not available on downloads.
CPE On-Demand