Review the intricacies of the Generation-Skipping Transfer (GST) tax, a complex and often counterintuitive law. Recognize your clients' GST planning opportunities and compliance requirements. Direct skip, taxable distributions and taxable terminations are reviewed in depth. Gain practical, in-depth knowledge of GST tax compliance and trust administration issues; completion of tax forms related to the GST; and explore advanced planning and compliance techniques with life insurance trusts. Learn to integrate the exemption allowance with estate planning and return preparation, and master other GST planning opportunities. An expanded illustrated Form 709 with GST exemption allocations is included. Extensive sample questions provide practical insight into numerous rules and circumstances where GST transfers can arise. Learn how to prepare Schedules M and R on Form 706 (estate tax returns) and how to properly prepare Form 709 (Gift Tax Returns) for the reporting of GST-related transfers. Learn how to prepare forms required when taxable terminations and taxable distributions arise. Protect your clients and yourself with effective GST exemption elections and recitations on Form 709 when indirect skip events arise.
Learning Objectives
- Recognize GST law, events, special terms, recognition of issues and tax compliance with GST tax forms
- Identify case examples, ranging from simple GST situations to complex applications and compliance issues
- Identify how to maximize the benefit of the inflation-adjusted GST exemption
- Learn key planning tips and the traps to avoid
- Learn how correct placement of gifts within parts 1, 2 and 3 of Schedule A of the Form 709 set up accurate reporting of GST events and foster more accurate analysis and treatment of GST elections on Schedule D of the gift tax return
- Checklists and action plans for you to bring to your office to better serve clients and spot issues before they become big problems
- Learn helpful tips for making the timely and late allocations of GST exemption and avoid unwanted deemed allocations of GST exemption
- Identify sample trust provisions to avoid GST problems
- Experience the impact of terms and conditions in Wills and living trusts on exemption allocations and allocation of estate tax and GST exemption protection
Major Topics
- Events that trigger GST tax
- Allocation rules for GST exemption
- Completion of Form 706 with special attention to GST on Form 709: Allocation of exemption (current, late and protective elections)
- Completion of Schedule R to Form 706; Forms 706GS(D) and 706GS(T)
- Reverse QTIP elections and portability elections
- GST tax traps with life insurance trusts and advanced planning
- Crummey trusts
- GST issues with sub-trust funding and administration on the death of the first spouse
- Impact of recent changes in the law
- Learn about ETIPs and the important recent change to Form 709 and how to report them
