The IRS and Section 2036

The IRS continues to look at family limited partnerships (FLPs) and whether or not they have been formed for a sufficient business purpose. Section 2036 of the IRS Code provides that the gross estate should include the value of any property to the extent a transfer has been made but the decedent has retained 1) …

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Are Family Discounts Disappearing Soon?

At least two writers believe so.*  The Obama Administration released its proposed budget for fiscal 2014 on April 10. The proposal contains a number of changes impacting estate planning which are described in the General Explanations of the Administration’s Fiscal Year 2014 Revenue Proposals (the “Greenbook”) issued by the Treasury Department. Previous issues of the …

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Elimination of FLP Discounts?

There have been numerous rumors surrounding whether Congress intends to eliminate discounts on transfers of family limited partnership interests and intra-family transfers of business interests. You may recall that the Pomeroy Bill proposed to eliminate these discounts. While this particular bill has not moved forward (and I understand is dead), it could come up in …

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