The Internal Revenue Service issued Revenue Procedure 2005-25 on April 8, providing additional guidance on determining the fair market value (FMV) of a life insurance contract distributed by a qualified plan or an employer. We have this report...
On March 30, the Internal Revenue Service issued Revenue Procedure 2005-24 adding significant new rules to charitable remainder trust planning. From David T. Leibell and Daniel L. Daniels of Cummings & Lockwood LLC in Stamford, Conn., we have this...
Many wealthy clients and owners of closely held businesses need to acquire a substantial amount of life insurance to provide liquidity to pay for their estate taxes. Life insurance provides substantial cash shortly after death, which is needed to...
Many of our clients who bought cash value life insurance policies are taking a hard look at their policies in light of changed circumstances or a changed planning environment. Whether it's because of personal cash flow issues, reassessment of the...
Gideon Rothschild, partner in the New York-based Moses & Singer LLP and specialist in asset protection, reports: If a wealthy client could possibly go bankrupt in the next 10 years, now is the time for him to move his assets into an offshore trust...
In December 2003, the Internal Revenue Service issued new regulations governing the definition of trust income for federal tax purposes. These regulations create significant planning opportunities as well as some potential pitfalls. There are...
Smart business owners plan for the orderly disposition and transfer of their interests in their companies in the event of their death, disability or retirement. Whether the business is a corporation, partnership or a limited liability company (LLC...
In the wake of the Terry Schiavo case and the death of Pope John Paul II many clients are focusing on end-of-life issues, particularly those surrounding life support and the final wishes of an incapacitated patient. Financial concerns, of course...
Say you meet up with a married couple in their mid 60s with three adult children and a net worth of $3 million $1.5 million in his IRA, $500,000 in their home and $1 million in nonretirement mutual funds. Since the husband is likely to die first...
At 6 feet 1 inch, 247 pounds and only 31 years old, Tedy Bruschi doesn't fit most people's profile of a stroke victim. But just two weeks after helping his team win the Super Bowl, the star New England Patriots linebacker was in an ambulance...