Who knows where the estate tax limits will fall in 2011. It might be 1 million or 3.5 million or higher depending on how the legislators settle on this issue. Meanwhile, back at the ranch, Congress is trying to put limits on a popular trust families have used for years to avoid the estate tax. Since this type of trust works best at times when interest rates are low and asset values are depressed, we are urging high net worth clients to look at setting one of these up before Congress decides to make these trusts look like a rainy day in the tax world. This type of trust is known as a GRAT or grantor-retained annuity trust, which allows people to give a portion of an asset’s future profits to heirs tax-free. The trusts we have found can be very popular for clients who have a family business that is expected to increase in value or may have stock ...Read More →
Oct 25, 2010 Posted Gen X & Y Financial Advice 1 Million, 10 Year End Tax Management Tips for 2010, 2010 investments, 5 Million, Alpharetta Financial Services, Asset Values, asset values are depressed, Can I Convert My 401(k) To A Roth 401(k)?, Creative Tax Deductions, Do You Spend Too Much?, estate tax limits will fall in 2011, Family Business, Family Limited Partnerships, Gen X & Y Financial Advice, Grantor Retained Annuity Trust, Grat Trust, Grats, Heirs, High Net Worth Clients, Income Taxes, Interest Rates, interest rates are low, Legislators, Life Expectancies, limits on a popular trust families, New Legislation, oXYGen Financial, Rainy Day, Raising income taxes, Ted Jenkin, Time Is Of The Essence, True Values, Trust Works, trusts, What is a GRAT trust, Why Refinance Back into a 30-Year Loan?