When creating trusts, attorneys face the challenge of understanding the complex federal tax rules triggering grantor trust status for income tax purposes plus those triggering inclusion in the gross estate for federal estate tax purposes.  Adding to the inherent difficulty of these rules is the fact that they may overlap, but are not the same. 

Some powers that trigger grantor trust status may not trigger estate inclusion and vice versa.  Elder law attorneys must be able to navigate these rules adeptly, as there are many situations that call for triggering one result but not the other.  Plus, the attorney must be aware of the federal and state rules relating to qualification for Medicaid, VA, and other benefits, and avoid pitfalls that can come with certain powers used for grantor trust or estate inclusion planning. 

In this session, we will give an overview of some of the more common techniques used to trigger grantor trust status and estate inclusion (or both), and discuss possible ways to avoid ending up on the wrong path when planning for one but not the other, and when planning for Medicaid or other benefits.

Presented by:

Vanessa Kanaga CEO.,
Interactive Legal

Teresa Bush, Esq.,
Director of Education and Content Support Services, InterActive Legal

William Blumer, Barley Snyder