Steve Oshins’ Tips for Getting Through the Pre-Fiscal Cliff Gifting Chaos
Nearly everybody is out of 2012 capacity at this point. So…
- Consider setting up a simple one-page gift trust with just the essential terms so you have a valid trust under the state law you are selecting.
- Give the settlor’s best friend as Trust Protector the power to completely amend and restate the trust (maybe for a selected period of time like three months) in that Trust Protector’s sole and absolute discretion (and obviously draft around a GPOA).
- Get it fully executed and funded with the $5MM gift before year-end.
- Enjoy the New Year’s. Take a deep breath.
- Reconvene in 2013 and have the Trust Protector restate the trust with regular provisions. The settlor can make recommendations, but it clearly must be done in the sole and absolute discretion of the Trust Protector to avoid IRC 2038.
- Charge the client a premium for doing this so late in the game. You’re entitled to it.
ABOUT THE AUTHOR
Steve Oshins, AEP (Distinguished) is a member of the Law Offices of Oshins & Associates, LLC in Las Vegas, Nevada. He was inducted into the NAEPC Estate Planning Hall of Fame® in 2011. He was named one of the 24 “Elite Estate Planning Attorneys” and the “Top Estate Planning Attorney of 2018” by The Wealth Advisor and one of the Top 100 Attorneys in Worth. He is listed in The Best Lawyers in America® which also named him Las Vegas Trusts and Estates/Tax Law Lawyer of the Year in 2012, 2015, 2016, 2018, 2020, 2022, 2024 and 2026. He can be reached at 702-341-6000, ext. 2 or [email protected]. His law firm’s website is www.oshins.com.