GRATs

A grantor retained annuity trust (a "GRAT") is a trust from which the grantor has retained the right to receive a stream of annuity payments for a period of years. When the grantor's entitlement to receive the payments ends, the property…

The Walton case (Walton v. Com., (2000) 115 T.C. 589), which sets forth how to reduce the gift element of a Grantor Retained Annuity Trust (a "GRAT" herein) to near zero, and the subsequent acceptance thereof by the IRS as announced in…

The value of property is a critical factor in estate planning. The value of certain partial interests is determined pursuant to actuarial tables. It is important to accurately determine these values because that will help determine whether…

Not infrequently, transfers or acquisitions of partial interests in property occur. In some cases, economic or business advantages will accrue by reason of such transfers or acquisitions. Occasionally, a favorable income or wealth transfer…

Regardless of the motive for making a charitable contribution or bequest, an individual should be aware of the tax effects of the transfer. Failure carefully to consider those effects may not only result in the loss of an income tax…