The tax proposals in 2021 should give cause for all financial planners to reconsider the estate and liquidity planning strategies for clients. These proposals, which may resurface, would have significantly impacted a number of planning strategies, to include irrevocable life insurance trusts (ILITs). There also was a proposal/ attempted legislation to reduce lifetime estate and gift tax exemption amounts prior to 2026.
While no one can predict the future of these proposals, it is prudent for clients (mass affluent to HNW) to reassess their estate plans and the continued viability of their wealth transfer vehicles and liquidity positions. This should include a review of the performance and durability of their life insurance policies, does their ILIT still make sense, would a Family Limited Partnership (“FLP”), a GRAT, SLAT, or sale to an IDGT be a better choice than an ILIT (or something to be utilized in addition) and how an even deeper reduction to the Lifetime Gift and Estate Tax Exemption would affect them.
The learning objectives include teaching attendees:
1. Key principles of the Lifetime Gift and Tax Exemption
2. What to consider with existing and future ILITs
3. How, when and why Family Limited Partnerships, GRAT’s, SLAT’s and sales to IDGT’s are used
4. Learn the pros and cons of ILITs compared/used in kind with FLPs and SLAT’s.
*CE/CPE Eligible: 1 CE credits are available to subscribers with these designations: CFP, CLU, ChFC and RICP. CPA subscribers will earn 1 CPE credits.
Field of Study: Specialized Knowledge
Prerequisites: There are no prerequisites for this session.
Advanced Preparation: None
Program Level: Basic
Delivery Method: Group Internet Based
NASBA Approved
Financial Experts Network (Sponsor Id#: 145173) is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org.