Properly administering a beneficiary’s network of special needs trusts (SNTs) is the cornerstone of an effective special needs plan. This program will address how to identify and correct the mistakes frequently made by a beneficiary’s allied professionals during the creation and funding of SNTs (both before and after the trustee has accepted those SNTs), as well as how to avoid common pitfalls while actively administering SNTs.
 

This presentation will cover the mechanics of several different wealth transfer and tax planning strategies involving irrevocable trusts, including grantor retained annuity trusts, qualified personal residence trusts, charitable lead trusts, charitable remainder trusts, irrevocable life insurance trusts, sales to grantor trusts, and intrafamily loans. The presenter will discuss how different applicable federal rates and the 7520 rates impact the effectiveness of these various wealth transfer structures. During the presentation, we will highlight the technical process as to how each estate planning technique is structured and explore the various tax and nontax considerations that drive each technique.
 

International people and property frequently pop up in estate planning. Two common scenarios include planning for a noncitizen spouse and planning for property held outside the United States. Each topic is worthy of separate discussion, so this presentation will be split into two segments. 

We will start with planning for a noncitizen spouse using outright transfers and qualified domestic trusts (QDOTs). This discussion will span the client relationship, beginning with the initial conference. We will move through lifetime planning and gifting, ending with postmortem planning and QDOT administration. 

Next, we will discuss planning for real property held outside the United States. Again, we will follow the arc of the client relationship, starting with identifying a team of advisors. It is impossible to suggest one planning technique for all foreign property because estate planning varies greatly from country to country. Instead, we will cover common scenarios and general drafting tips for coordinating wills in multiple jurisdictions. If time allows, we will discuss postmortem administration issues that frequently arise with foreign real property.
 

This session will discuss the transfer tax and unsettled income tax ramifications of early terminations of irrevocable trusts, whether through a nonjudicial settlement agreement, decanting, or court reformation, and when a substantial modification that changes the parties’ beneficial interests implicates the same (or worse) risks. Most importantly, we will discuss how we can get the same result with less risk and avoid being the low-hanging fruit for the Internal Revenue Service auditor.