Using life insurance to fund a donor's charitable gifts
Article Abstract:
Charitable gifts from life insurance policies and trusts provide attractive estate planning options for many people, but the effects on gift, estate and transfer taxes should be carefully studied when crafting such schemes. Charitable remainder trusts can be funded with life insurance policies, the ownership of a policy can be transferred to a charity, or the charity can be named as the policy's beneficiary. Each of these arrangements has different tax consequences and effects on the use of the money during the policy holder's lifetime.
Publication Name: Estate Planning
Subject: Law
ISSN: 0094-1794
Year: 1995
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Designing and drafting charitable remainder trusts after TRA '97
Article Abstract:
Charitable remainder unitrusts (CRUTs) continue to be superior means to compound income without taxation and to defer capital gains taxation even after changes made by the Taxpayer Relief Act of 1997. The Act and IRS proposed regulations have limited the use of accelerated CRUTs, Flip-CRUTs, GRUT-CRUTs, and NIM-CRUTs. However, CRUTs remain viable planning tools particularly for middle-aged, healthy, and life insured donors.
Publication Name: Estate Planning
Subject: Law
ISSN: 0094-1794
Year: 1997
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Problems when using charitable remainder trusts - drafting is just the beginning
Article Abstract:
The author uses a Tax Court case, Estate of Atkinson, to demonstrate the importance of properly administering a charitable remainder trust to meet the complex rules of the IRS. Errors in administering the CRT in Atkinson are analyzed to illustrate the value of good CRT drafting and planning.
Publication Name: Estate Planning
Subject: Law
ISSN: 0094-1794
Year: 2000
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