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The article explores the role of life insurance when navigating estate planning and wealth preservation for high-net-worth individuals and families. It discusses implications of the 2024 U.S. federal estate tax exemption and suggests alternatives to reduce a family's estate tax exposure. Benefits of allocating to a permanent life insurance assuming a family makes a lump sum gift to an irrevocable trust include enhanced portfolio returns, risk management and stability and tax advantages.

The article discusses updates on trusts, particularly how to tackle gift-splitting when a spouse is a beneficiary amidst the impending reduction of the applicable exclusion amount (AEA) on January 1, 2026. Also cited are the recommended strategies like allowing a spouse to make a gift to an irrevocable trust for the benefit of the other spouse and their children and the tax structure called the spousal lifetime access trust (SLAT). INSET: GST Treatment of Split Gifts..

The article discusses guidelines to help trustees avoid traps relating to investing trust assets. Topics discussed include the review of the trust document during the investment planning phase, the implementation of the plan and monitoring of outcomes, and considerations when investing in different types of trusts including irrevocable life insurance trusts, grantor trusts and trusts with concentrated stock.

The article offers guide to tax advisors when introducing irrevocable life insurance trust (ILIT) to clients. It presents the discussion of a client with his estate planning attorney, tax advisor and life insurance agent about estate planning and life insurance. It explains the amount of insurance needed and different approaches to distribute trust assets to children. Three scenarios are described in case a client passes away and ILIT assets are distributed to the children or held in trust.

The article discusses the potential benefits of trusts in the sustainability of family-owned businesses. Also cited are how establishing trusts can protect a business from the reduced estate tax exemptions in the U.S., the benefits of trusts in asset protection and succession planning, and the advantages and disadvantages of revocable and irrevocable trusts.

The article discusses estate planning issues in the U.S., particularly the Chief Counsel Advice (CCA) 202352018 ruling regarding beneficiaries of irrevocable trust. Other topics include the role of the trustee in the distribution of income and principal to the beneficiaries, the discretionary power to reimburse, and the qualifications of a taxable gift.

The article offers advice on how a client's irrevocable trust asset can help a beneficiary child buy a house without sacrificing the trust's tax and asset protection benefits. Suggestions include use of assets in a taxable estate and reachable by their creditors, seeking cash distributions from trust, use of home loans, use of trust as guarantor, assessing whether the child appreciates the associated financial and personal responsibilities with home ownership, and purchase by a dynastic trust.

The article states that sellers of cash value life insurance have made comparison-shopping difficult, but there are ways to improve the odds. A cash value policy, like whole life, incorporates investment along with pure death protection. Pure death protection, also known as term insurance, is not inherently complicated and the same can be said about fixed-income investment. Cash value policies are those with premiums considerably beyond what the insurance company needs to pay death claims.

Discusses problems facing beneficiaries of irrevocable trusts regarding trust fund management in the United States. Growing complaints of beneficiaries about trustees; Contribution of merger and acquisition activities of trust companies to trust problems; Advice to beneficiaries to improve the management of their trusts; Defense against future trust problems.

The article focuses on the impact of divorce on the life insurance trust planning of a married couple. Topics discussed include information on the irrevocable life insurance trust (ILIT) along with its uses and benefits, several issues to be considered related to an existing ILIT upon divorce, and potential benefits of creating an ILIT in case of divorce settlement agreement.

The article discusses how to file and appeal claims in long-term care (LTC) insurance. Topics discussed include the significance of prospective planning which requires that client has planned in advance by creating an Irrevocable Asset Protection Trust which is known as Medicaid Asset Protection Trust (MAPT), the right time to purchase LTC insurance, and how to determine when the LTC insurance coverage is initiated.

The article offers information on the Uniform Trust Code (UTC)and state decanting statutes in general along with reformation under UTC § 415 and retroactive modification under UTC § 416 to accomplish tax objectives and the issues surrounding both. It mentions that practitioners in UTC jurisdictions have embraced the flexibility offered by the code and have had great success in altering the terms of irrevocable trusts under a number of scenarios.

The article offers information on the Qualified Dispositions in Trust Act of Delaware signed by governor Thomas R. Carper on July 9, 1997. Topics include advantages of Delaware asset protection trust (APT) like tax benefits, assets protection and availability of options for non-resident noncitizens; ways to create the APT like establishment of irrevocable trust with a qualified trustee; issues related to drafting and funding like appointment of co-trustee and transferring funds to APT.

The article focuses on the developments in the New York's newly amended decanting statue. It is stated that New York enacted the nation's first decanting statute in 1992. It furthers discusses basic principles of trust decanting, requirement of court filling and discretion in the decanting statute, and rules applicable when trustees have unlimited discretion.

The article discusses the reservation of a life estate by a widow through an irrevocable Medicaid trust in the U.S. It notes that the provisions of the trust are the basis for the effectiveness of its execution and passing to remainders. It mentions several advantages of the trust including significant degree of control over assets, protection against creditors and long-term care costs, and maximization of tax planning opportunities.

The article presents information on the Uniform Prudent Investor Act (UPIA), promulgated by the National Conference of Commissioners on Uniform State Laws in the U.S.

The article explores several aspects of trust law that may impact a family law case, including the nature of the parties' interests in a trust, the capability of the parties to modify the terms of the trust, and how the trust is taxed. It states that all trusts have both property-law characteristics and tax characteristics. It discusses several types of trusts which include the revocable and irrevocable trusts, trusts defined by distribution such as mandatory income trusts, trusts defined by purpose such as spendthrift trusts, and trusts defined by tax treatment such as grantor trusts.

The article presents information on spousal access trusts (SAT) as well as the irrevocable life insurance trust (ILIT) funded with a second-to-die policy. It informs that the SAT can be used to solve the high cost of individual life insurance policies and lack of flexibility in a traditional life insurance trust. Only one spouse can be the grantor of the SAT, and the grantor cannot be a beneficiary, unlike a typical second-to-die ILIT in which both spouses are grantors.

The article focuses on the use of custodial funds as well as examines the ability of the custodian to delay distributions beyond age 21 through the conversion of the custodial account to an irrevocable trust or by other means. It informs that the Uniform Act section 14(a) of the U.S., provides that a custodian may pay or deliver to the minor or expend for the minor's benefit so much of the custodial property as the custodian considers advisable for the use and benefit of the minor.

The article reports that LVMH has granted an irrevocable mandate to an investment services provider for the acquisition of a maximum of its shares over a period starting on December 21, 2022. It mentions that LVMH's a French luxury goods company intends to cancel the shares bought under the mandate of the company.

HIV testing is an important step in the continuum of HIV care. It provides the opportunity to counsel persons who seek testing and links those who test positive to health services. To determine the number of adults who had ever been tested for HIV, compare the reasons they sought testing, and evaluate the policy implications of their decision, data from the 1998 and 2002 National Health Interview Surveys were analyzed. Of 31,138 adults interviewed in 1998, 9728 (31.2%) reported they had been tested for HIV, whereas 10,760 (34.7%) of the 31,044 adults interviewed in 2002 had been tested for HIV. Persons who were interviewed in 1998 and 2002 were similar with regard to sociodemographic characteristics. The reasons for seeking HIV testing changed between 1998 and 2002. The proportion of adults who were tested for HIV "to find out if infected or not" declined significantly, from 33.9% in 1998 to 11.8% in 2002; the proportion of those who were tested because the HIV test was "part of a routine medical checkup or surgical procedure" increased from 11.4% to 24.6%. During the same period, the proportion of adults who were ever tested for HIV because the test was required for health/life insurance, immigration, or military induction decreased slightly, from 14.9% to 14.4%. The increase in testing overall may be explained, in part, by the growing acceptance of routine HIV testing among adults in the United States. While mandatory HIV testing remains controversial, it accounted for 13% to 15% of adults who became aware of their HIV serostatus in 1998 and 2002. This contribution raises questions about its merit in the fight against HIV infection. (Drug Benefit Trends. 2005;17:222-Cover 3) [ABSTRACT FROM AUTHOR]

Discusses estate planning and trust funds in the United States. Reasons to find a locale that protects money put into a trust; Indication people do not have to use their home state; Warning about irrevocable trusts; Number of states that let trusts endure for generations; States with little or no income tax on trusts; Number of states that allow people to name themselves as beneficiary of a protected trust; Comment of Michael Smith, Deutsche Bank managing director.

The article looks at the Uniform Trust Code (UTC) that aims to unify trusts in the United States as of August 2004. The UTC was released in 2000 after six years of work by the National Conference of Commissioners on Uniform State Laws--a group of lawyers, judges, legislators and law professors that makes recommendations to the states on statutes covering such areas as contracts and family matters. The 183-page document aims to replace the current muddle of state-specific trust law (most of it common law ad-libbed over the past two centuries by judges) with a consistent, comprehensive and up-to-date code. Some say the code compromises families' privacy, endangers their estate plans and favors their creditors. The UTC requires trustees to notify current and probable future beneficiaries of irrevocable trusts, including charities, about the existence of the trust. Opposition to this disclosure provision is so widespread that the National Conference plans to alert states to alternatives to this blanket notification provision, such as limiting which beneficiaries must get notified.

Discusses so-called dynasty trusts. How these never-ending, usually divorce-proof and estate-tax-sheltered trusts are legal in many states; Uses of such trusts, including starting a business from within one and protecting sacred family assets, such as vacation property, through one; Benefits; Drawbacks, including their irrevocability; Costs.

Presents information on estate taxes. Discussion on how to reduce estate taxes by taking advantage of lower interest rates in the United States; Focus on the U.S. Internal Revenue Service discount rate which is based on Treasury bond yields; Aspects of the benefits involved in placing a portion of an estate in an irrevocable trust to have a charitable lead annuity trust.

The article discusses the survey of elder law attorneys which determines the extent of their service as trust protectors. It states that most respondents were positive about the role of trust protector, which offer them the ability to make needed changes, amendments, and adjustments to trusts they created for clients. One respondent remark that the role is invaluable for attorneys drafting irrevocable trusts. INSETS: Elderly Couple May Be on the Hook for Adult Son's Medical Bills;Marriage of Couple in Their Mid-90s Is Challenged....

The article offers information on the use of irrevocable life insurance trusts (ILIT) as a method for reducing estate tax particularly with gift and generation skipping transfer tax issues. Life insurance policy gifts are generally valued at the replacement value of the policy on the date of the gift. Qualifying for the annual gift tax exclusion requires a transfer to be of a present interest.

The IRS ruled that a trustor's proposed lifetime irrevocable transfer to a trust of the nonvoting interests in a limited liability company, the only assets of which are promissory notes from disqualified persons, will not constitute an act of self‐dealing; the trust was held to not control the LLC (Priv. Ltr. Rul. 201907004). [ABSTRACT FROM AUTHOR]

The article discusses trusts as a solution on financial problems of families in the U.S. It states that a trust is convertible to any type of property including real estate, stocks, or a business which could possibly be set up as a testamentary trust or living trust. It mentions that irrevocable trust allows an inclusive surrender of the entire property, making it possible to avoid estate and trust property tax. It also notes the short-term trust, a type of trust that saves income taxes.

The article focuses on the inheritance of Christine Cromwell on the estates of her grandfather of Auto Magnate Horace E. Dodge and the conflicts regarding her shareholders in her rights of her estate. It states that the estate of her grandfather cannot be touched so long as the widow is alive, Cromwell sold shares in her rights over the estate. However, her inheritance, held by the Detroit Bank & Trust Co., cannot be claimed by her shareholders due to irrevocable trust fund set up.

The article discusses how to avoid tax problems when one possesses a life insurance policy of his or her own life. It states that when one possesses a life insurance policy, the proceeds are included in his or her estate for federal estate tax purposes. It suggests that one should set up an irrevocable life insurance trust and transfer ownership of the policy to the trust. It notes that in doing this, the family can save tens or hundreds of thousands of estate tax dollars. INSET: The kids are alright.

The article reports on the proposed implementation of stringent Medicaid rules in the U.S. It is inferred that the rules opt for the establishment of an irrevocable trust to remove remaining assets from an estate. It also proposes a penalty period equals the amount given away divided by the average cost of nursing-home care in an area.

Focuses on the Chawla versus Transamerica Occidental Life Insurance Co. case in which the U.S. District Court for the Eastern District of Virginia ruled that an irrevocable life insurance trust does not have an insurable interest in the life of the grantor. Details of the case; Impact of the decision on the financial, insurance and estate planning professions; Ruling released by the U.S. Fourth Circuit Court of Appeals on the case on March 7, 2006.

Explains several options for small business estate planning. Benefit of self-canceling installment sale to sellers; Risk associated with private annuity; Technique of controlling assets through intentionally defective irrevocable trusts.

Explains the use of a variable universal life (VUL) policy in conjunction with a private annuity for clients to reduce capital gains in the U.S. Profile of an ideal client for the VUL/private annuity strategy; Taxation on the sale of an asset that is exchanged for a private annuity; Procedure in creating an irrevocable life insurance trust to buy a life insurance policy; Payment under the insurance policy when a client dies. INSET: All in the Family.

Reports on how parents can put their children's inheritance in discretionary irrevocable trusts. How the money in the trust can be shielded from creditors and other people; Advice to have a trustee make decisions on payouts.

Provides information on the intentionally defective irrevocable trust, an estate planning technique developed by financial planners. Purpose of the strategy; Important points to remember when selling property to the trust.

The article gives information for purchasing of trust and taking care before purchasing it through online services. It discusses the case of purchasing of a Revocable Living Trust and Irrevocable Asset Protection Trust which were not funded and main objectives of the trust such as probate avoidance, Estate Tax reduction, and Asset Protection. It also gives suggestions to consult a qualified professional for your estate planning who can guide properly.

The article talks about the two categories of trusts that are revocable trusts and irrevocable trusts, using as a tool to implement estate planning and the regular activities to make it an effective plan.

Several letters to the editor are presented in response to the article "Life insurance can't do miracles" in the June 24, 1991 issue. Barry Kaye noted that life insurance policy can discount the cost of estate taxes. Daniel H. Teas II questioned why Malcolm Forbes Jr. is buying large life insurance policies. Louis T. Armelin commented on the annual premium of second-to-die policies.

The article reflects on the tax rates, which can be decreased by putting the life insurance policy into an irrevocable trust. The author states that the type of insurance put in the trust will depend on the insurance needs. She suggests that for married couples using the insurance to pay estate taxes, it is not important which spouse is insured. She stresses that the trust should be the applicant, owner and beneficiary of the trust.

The article reports that an industrywide plan regarding life insurance has been set up by truckers in the U.S. through the American Trucking Association.

The author discusses U.S. business and economic trends as of February 1, 1934. Topics addressed include taxation concerns regarding Transportation Coordinator Joseph B. Eastman's recommendation that the U.S. government acquire all the railroads, the New Deal's objective of lifting the price level to approximately that of 1926, and the use of an irrevocable trust fund as a hedge against poverty and to afford financial protection for both self and dependents.

The article discusses two trial court decisions which the Massachusetts Superior Court affirms regarding the treatment of a Medicaid applicant's irrevocable trust as an available asset because he retained the right to use and occupy the property that was placed in trust. It cites the case Daley v. Sudders where the court rules the availability of a main trust asset to couple James and Mary Daley. It also notes the case Nadeau v. Thorn where Lionel Nadeau and his wife received favorable ruling.

The article offers information on the need for financial planners to be aware of various roles and positions included in irrevocable trusts, and mentions proper investments of assets by the clients with optimal financial planning. Topics discussed include empowering group of fiduciaries for making distribution decisions; and the role of loan director to grant loan to a settlor.

The article discusses complexity, cost and delays associated with the probate process. Topics discussed include need to avoid the legal fees and filing fees associated with the probate process, lengthy process and filings such as the Inventory of Assets and Affidavit of Completion, and need for use of a trust, whether revocable or irrevocable, as a tool to avoid the probate process.