The use of trusts in 2015 will continue to undergo changes in response to the modifications of the income tax rates and the changes to the estate and gift tax in 2015. Clients need to be informed why planning is essential in these changing times. The purpose of this course is to explore the many beneficial issues of trusts, an essential element in estate planning. This course gives insights and practical pointers concerning trusts of every shape and size after tax reform.

Major Topics:

  • Guide to legislative changes and their impact on trust planning
  • Introduction to trusts with emphasis on typical provisions
  • Revocable living trusts
  • Common testamentary trust arrangements – Bypass trusts, QTIP trusts, and other marital trusts
  • Asset protection trusts
  • Sophisticated trusts for estate planning and asset transfer – GRATs, GRUTs, QPRTs, and IDGTs
  • Charitable trusts – Charitable remainder trusts, charitable lead trusts, and pooled income funds
  • Irrevocable life insurance trusts
  • Medicaid trusts: special needs and Miller
  • Trusts for minors -- Sections 2503(b) and 2503(c), and other trusts
  • Dynasty trusts
  • Trusts to hold S corporation stock
  • Impact of historically low APRs on various trust arrangements
  • Special problems of estates and trusts relating to the new 3.8-percent tax on investment income and specific solutions

Learning Objectives:

  • Identify the areas of trust in connection with disability, charity, life insurance, leveraging gifts, principal residences, and minors
  • Understand the role played by a marital deduction trust and a credit shelter bypass trust
  • Explain how trusts may protect assets and perpetuate family wealth over multiple generations

Designed For: CPAs who wish to have a complete understanding of the various uses of trusts
Level of Knowledge: Intermediate
Prerequisite: A basic course in estate and gift tax and a basic course on estate and trust income taxation (Form 1041)
Advanced Preparation: None
Credits: 8