Sample CLATsSample CLATs

Conrad Teitell, principal and chair, charitable planning group, Cummings & Lockwood, LLP, Stamfor

Thanks to the Internal Revenue Service for its help to the estate-planning and charitable-giving community, by publishing sample charitable lead annuity trusts (CLATs). This is a welcome benefit for us, because unlike charitable remainder trusts (CRTs), there aren't regulations fleshing out the Internal Revenue Code provisions. In fact, lawyers who've drafted CLATs — and the lawyers at the IRS — often looked to the CRT regulations and the Service's sample CRT forms for guidance. The IRS' sample trusts, alternate provisions and annotations issued this June¹ are a virtual course on CLATs for us to study. Bottom line: I have just a few criticism...