Take advantage of low interest rates in estate planning strategies

Current laws on gifts and estate taxes couple with historic low interest rates and depressed asset values to allow unheard of ways to pass wealth to heirs. Two Miami attorneys, Richard M. Goldstein and Derek P. Richman, provide insightful discussions of transferring wealth in a low-interest-rate environment through grantor retained annuity trusts (GRATs); charitable lead annuity trusts (CLATs); intentionally defective grantor trusts; and family limited partnerships. Each of these strategies has pluses and minuses as detailed in this article in the Journal of Practical Estate Planning. Some strategies raise issues with generation skipping transfer tax issues, but the current interest rate environment can create tax-advantaged transfers of wealth when the economy rebounds.

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This story is from the CCH’s monthly Focus on Tax newsletter, which provides advise and guidance on federal and state tax issues for tax and accounting professionals.

Read this article from CCH’s Journal of Taxation of Financial Products.

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Wolters Kluwer Tax and Accounting

Wolters Kluwer Tax and Accounting is a leading provider of software solutions and local expertise that helps tax, accounting, and audit professionals research and navigate complex regulations, comply with legislation, manage their businesses and advise clients with speed, accuracy and efficiency. Wolters Kluwer Tax and Accounting is part of Wolters Kluwer N.V. (AEX: WKL), a global leader in information services and solutions for professionals in the health, tax and accounting, risk and compliance, finance and legal sectors. We help our customers make critical decisions every day by providing expert solutions that combine deep domain knowledge with specialized technology and services. Wolters Kluwer reported 2016 annual revenues of €4.3 billion. The company, headquartered in Alphen aan den Rijn, the Netherlands, serves customers in over 180 countries, maintains operations in over 40 countries and employs 19,000 people worldwide. Wolters Kluwer shares are listed on Euronext Amsterdam (WKL) and are included in the AEX and Euronext 100 indices. Wolters Kluwer has a sponsored Level 1 American Depositary Receipt program. The ADRs are traded on the over-the-counter market in the U.S. (WTKWY).

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