Interested in training for your team? Click here to learn more

Reporting GRATS, GRUTS, ILITS and IDGTs on Form 709: GST Exemption Allocation Calculations and Strategies

Recording of a 110-minute CPE webinar with Q&A

This program is included with the Strafford CPE Pass. Click for more information.
This program is included with the Strafford CPE+ Pass. Click for more information.
This program is included with the Strafford All-Access Pass. Click for more information.

Conducted on Wednesday, July 13, 2016

Recorded event now available

or call 1-800-926-7926

This course will provide tax advisers with a thorough and comprehensive guide to the gift and generation skipping tax reporting challenges of allocating GST transfer taxes in circumstances involving the use of GRATs, IDGTs, ILITs and similar trusts. The panel will discuss how to allocate exemption amounts, as well as other practical tools to minimize GST impact and avoid costly penalties.

Description

Clients who have utilized planning vehicles such as IDGTs, GRATs, ILITs or decanted trusts face complex considerations in preparing Form 709 Gift Tax Returns, especially in terms of allocating generation-skipping transfer tax exemptions. Any transfer of assets directly to a “skip person,” or to a trust for the benefit of a skip person, triggers GST reporting and allocation requirements.

Transfers to trusts involving skip persons requires the tax adviser to calculate the exemption allocations for GST purposes on Form 709. Advisers must have a thorough grasp of the rules governing automatic allocations, “ETIP allocations,” and timely vs. late allocations, as well as the calculation methodologies for dealing with more sophisticated trusts.

Listen as our experienced panel provides practical guidance on calculating and reporting required allocations, as well as planning opportunities to reduce GST tax impact on IDGTs, GRATs, ILITs and meeting adequate disclosure requirements.

READ MORE

Outline

  1. Identifying taxable transfers to skip persons subject to GST reporting in trust documents
  2. GRAT and Crummey Trust exemption allocation and reporting
  3. IDGT seed gift and sale basics and reporting
  4. ETIP rules and GST exemption allocation calculations
  5. The adequate disclosure rules

Benefits

The panel will discuss these and other important topics:

  • Opting out of automatic allocation of GST exemptions—when and how
  • Reporting indirect skips
  • Late allocations of GST exemptions
  • Calculating inclusion ratio
  • Avoiding ETIP traps

Faculty

Tracy M. Child
Tracy M. Child
Partner
Sherman Wells Sylvester & Stamelman

Ms. Child assists clients with a broad range of estate planning, estate administration, family business succession...  |  Read More

Joy Matak, J.D., LLM.
Joy Matak, J.D., LLM.
Director
CohnReznick

Ms. Matak focuses on estate and business succession planning. She advises clients regarding administrative,...  |  Read More

Access Anytime, Anywhere

CPE credit is not available on downloads.

CPE On-Demand

See NASBA details.