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Section 2036 Estate Controversies of Tenants in Common InterestsSection 2036 Estate Controversies of Tenants in Common Interests

For estate tax purposes, Internal Revenue Code Section 2036(a) includes in a decedent's gross estate the value of certain property transferred during life.1 IRC Section 2036 generally applies when a taxpayer retains rights to the property transferred, the property's income2 or the right to designate others who can receive the rights to the property or its income.3 The Internal Revenue Service frequently

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Section 2036 Estate Controversies of Tenants in Common Interests

Dennis I. Leonard & Alison Merino

For estate tax purposes, Internal Revenue Code Section 2036(a) includes in a decedent's gross estate the value of certain property transferred during life.1 IRC Section 2036 generally applies when a taxpayer retains rights to the property transferred, the property's income2 or the right to designate others who can receive the rights to the property or its income.3 The Internal Revenue Service frequently uses Section 2036 to include in a taxpayer's gross estate property that was transferred to legal entities — traditionally irrevocable trusts,4 but especially family limited partnerships5 and limited liability companies6 (collectively FLPs).

Section 2036 also applies to property transfers resulting in a tena...

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About the Authors

Dennis I. Leonard

Associate, Ramsbacher Prokey LLP

Dennis I. Leonard is a current member of the State Bar of California Taxation and Trusts/Estates Sections, Chair-elect of the State Bar's Estate and Gift Tax Committee, the American Bar Association, the Silicon Valley Bar Association, the Santa Clara County Estate Planning Council and the Santa Clara County Bar Association. Prior to joining Ramsbacher Prokey LLP, Dennis was a Tax Counsel for the El Paso Corporation and Senior Tax Attorney for Arthur Andersen in Houston, Texas.

Dennis is licensed to practice in California and Texas. He received his law degree in 1999 and LL.M.in Taxation in 2003 from the University of Houston Law Center and his B.S. from the University of San Francisco in 1995.

Alison Merino

Associate, Ramsbacher Prokey LLP

Alison joined Ramsbacher Prokey LLP in 2009.  She graduated cum laude from Santa Clara University School of Law in 2010.  Upon graduation, she was inducted into the Santa Clara University Order of the Coif.  Alison passed the California Bar Exam in July 2010, and she is licensed to practice law in the State of California and the Northern District of California.

While at Santa Clara Law, Alison Merino was a technical editor of the Santa Clara Law Review and a participant in the Honors Moot Court External program.  She received Witkin Awards for Academic Excellence in Legal Research and Writing, Wills and Trusts, and Criminal Procedure, as well as the Outstanding Advocate Award in Appellate Advocacy.  She was also a recipient of the Emery Scholarship and the sole recipient of the Gerald E. Moore Scholarship for International Study, which allowed her to spend a semester studying international law in France and Switzerland.

She obtained her Bachelor’s degree in English and Political Science from the University of Notre Dame in 2007.  At Notre Dame, Alison was a member of the Dean’s Honor List and the Sigma Tau Delta Society (International English Honor Society).