ALI-ABA Course of Study Planning Techniques for Large Estates April 20-24, 2009 New York, New York PROGRAM FACULTY PARTICIPANTS STUDY MATERIALS TABLE OF CONTENTS Page xi xiii VOLUME 1 1. Charitable Alternatives By Paul N. Frimmer 2. Asset Protection: Trust Planning 125 By Duncan E. Osborne and Jack E. Owen, Jr. Table of Contents 127 Study Outline 133 3. Selected Issues in Planning for the Second Marriage 273 By Virginia F. Coleman Table of Contents 274 Study Outline 275 4. State Fiduciary Income Tax Issues 375 By Virginia F. Coleman Jurisdictional Bases for State Taxation of Trust as a "Resident Trust" 404 5. Perpetual Dynasty Trusts: Tax Planning and Jurisdiction Selection 413 By Richard W. Nenno Table of Contents 414 Study Outline 419 Presentation Slides 698 6. Planning and Defending Domestic Asset-Protection Trusts 705 By Richard W. Nenno and John E. Sullivan, III Table of Contents 707 Study Outline 713 Presentation Slides 946 7. Marital Deduction Planning in Uncertain Times 957 By Jeffrey N. Pennell Table of Contents 958 Study Outline 959 8. Tax Apportionment By Jeffrey N. Pennell vii 1 987
9. Family Limited Partnerships: Current Status and New Opportunities 1017 By S. Stacy Eastland Table of Contents 1018 Study Outline 1023 10. IRA and Retirement Plan Distribution Planning: Separate Accounts and 1313 Related Planning Alternatives By Mervin M. Wilf Study Outline 1315 Appendix A: Specimen Beneficiary Designation: Drafting for Establishment of Separate Accounts 1334 Appendix B: Specimen of Distributee Trust 1348 11. Ethical Issues in Practice: Important Fiduciary Litigation 1353 By Bruce S. Ross Table of Contents 1355 Study Outline 1357 VOLUME 2 12. Legislative Outlook 1385 By Ronald D. Aucutt Table of Contents 1386 Study Outline 1387 13. Recent Valuation Decisions 1443 14. Judicial Misapplication of the Willing Buyer-Willing Seller Concept 1515 Table of Contents 1516 Study Outline 1517 15. Will Built-In-Gains Tax Discount Continue to Be Contested? 1521 Table of Contents 1522 Study Outline 1523 16. Summary Checklist for Family Limited Partnership Formation and Operations 1527 17. Planning with Family Limited Partnerships in the Current Environment 18. Confronting the Deemed Sale Rule Exposure from FLP Distributions and Related Transfer Considerations 19. Bianca Gross v. Commissioner By Steve R. Akers 1535 1555 1563 viii
20. Estate of Hurford, T.C. Memo 2008-278 By Steve R. Akers 1573 21. Postmortem Planning Considerations for the Family Business Owner: 1587 A Review of Income, Gift, and Estate Planning Issues By Steve R. Akers Table of Contents 1588 Study Outline 1593 22. Installment Sales to Grantor Trusts 1793 By Ronald D. Aucutt Table of Contents 1794 Study Outline 1795 23. Circular 230: Estate Planning Issues 1859 By Ronald D. Aucutt Table of Contents 1860 Study Outline 1861 24. The Statute of Limitations and Disclosure Rules for Gifts 1897 By Ronald D. Aucutt Table of Contents 1898 Study Outline 1899 25. Tax and Estate Planning Issues for U.S. Clients Who Own Foreign 1939 Property By M. Read Moore Table of Contents 1940 Study Outline 1941 26. Income Tax Problems When the Estate or Trust is a Partner 2039 By Carol Cantrell Table of Contents 2041 Study Outline 2043 27. Estate Planning and Administration for S Corporations 2109 By Carol Cantrell Table of Contents 2111 Study Outline 2113 28. Some Interest-Sensitive Estate Planning Techniques By Lawrence P. Katzenstein 2163 29. Numbers Matter: The Mathematics of Estate Planning 2221 By Lawrence P. Katzenstein Table of Contents 2223 Study Outline 2225 30. No Taxpayer Left Behind: Tax-Wise Techniques for Funding Education 2259 By Susan T. Bart Table of Contents 2260 Study Outline 2263 ix
31. Life Insurance Planning and Products By Charles L. Ratner 2373 32. Current Issues in Generation-Skipping Tax Planning 2407 By R. Eric Viehman Table of Contents 2408 Study Outline 2413 33. Nonspousal Rollover Issues for 2009--Handout By Mervin M. Wilf 2469 34. Estate of Jorgensen, T.C. Memo. 2009-66-Handout By Steve R. Akers 2483 x
ALI-ABA Course of Study Planning Techniques for Large Estates April 20-24, 2009 New York, New York PROGRAM Monday, April 20, 2009 7:30 a.m. Registration WEBCAST SEGMENT A 8:30 a.m. Charitable Planning Techniques, Including Donor-Advised Funds Mr. Frimmer 10:15 a.m. Networking Break 10:30 a.m. Asset Protection Trust Planning Mr. Osborne 12:00 noon Lunch Break WEBCAST SEGMENT B 1:15 p.m. Special Problems in Estate Planning for the Second Marriage Ms. Coleman 2:15 p.m. Changing Trust Situs for Tax Purposes Ms. Coleman 2:45 p.m. Networking Break 3:00 p.m. Dynasty Trusts: How to Use Them in the Real World Mr. Nenno 4:45 p.m. Adjournment for the Day Tuesday, April 21, 2009 WEBCAST SEGMENT C 8:00 a.m. Transfers to Spouse, Both Lifetime and Testamentary; Tax Payment Provisions and Equitable Apportionment Professor Pennell 10:15 a.m. Networking Break 10:30 a.m. Transfers to Spouse (continued) 12:00 noonlunch Break WEBCAST SEGMENT D 1:00 p.m. Family Limited Partnerships: Current Status and New Opportunities Mr. Eastland 2:00 p.m. Qualified Plan and IRA Distributions: The Need To Customize IRAs; Benefits of Using Separate Accounts Mr. Wilf 3:30 p.m. Networking Break 3:45 p.m. Ethical Issues in Practice: Important Fiduciary Litigation Mr. Ross 5:30 p.m. Adjournment for the Day Wednesday, April 22, 2009 WEBCAST SEGMENT E 8:00 a.m. Legislative Outlook Mr. Aucutt 8:30 a.m. Valuation Issues and Related Recent Cases and Current Issues Messrs. Abbin, Akers, Aucutt, Eastland, and Malcolm Moore 10:00 a.m. Networking Break 10:15 a.m. Valuation Issues (continued) 11:45 a.m. Lunch Break xi
WEBCAST SEGMENT F 12:45 p.m. Postmortem Planning Considerations, Including Liquidity Problems, Special Valuation of Property Problems, Disclaimers, and Planning for Section 6166 Payments Mr. Akers 2:45 p.m. Networking Break 3:00 p.m. Installment Sales to Grantor Trusts Mr. Aucutt 3:45 p.m. Compliance Issues, Including Circular 230 and the Gift Tax Statute of Limitations Mr. Aucutt 5:30 p.m. Adjournment for the Day Thursday, April 23, 2009 WEBCAST SEGMENT G 8:00 a.m. Tax and Estate Planning for Clients with Foreign Property Mr. Read Moore 9:30 a.m. Income Tax Problems When the Estate or Trust is a Partner Ms. Cantrell 10:30 a.m. Networking Break 10:45 a.m. Estate Planning and Administration for S Corporations Ms. Cantrell 11:45 a.m. GRITs, GRATs, GRUTs, SCINs, and Private Annuities Mr. Katzenstein 12:30 p.m. Lunch Break WEBCAST SEGMENT H 1:45 p.m. Use of Time-Value-of-Money Concepts for Estate Planning Purposes Mr. Katzenstein 2:45 p.m. Networking Break 3:00 p.m. No Taxpayer Left Behind: Tax-Wise Techniques for Funding Education Ms. Bart 4:45 p.m. Adjournment for the Day Friday, April 24, 2009 WEBCAST SEGMENT I 8:00 a.m. Life Insurance in Estate Planning: Products and Strategies Mr. Ratner 10:00 a.m. Networking Break 10:15 a.m. Current Issues in Generation-Skipping Tax Planning Mr. Viehman 12:15 p.m. Adjournment xii
ALI-ABA Course of Study Planning Techniques for Large Estates April 20-24, 2009 New York, New York PLANNING CHAIRS Malcolm A. Moore, Esquire Davis Wright Tremaine LLP Suite 2200 1201 Third Avenue Seattle, WA 98101 Mervin M. Wilf, Esquire Suite 307 1500 Walnut Street Philadelphia, PA 19102 FACULTY Byrle M. Abbin, CPA Managing Director WTAS LLC Suite 300 1600 Tysons Boulevard McLean, VA 22102 Steve R. Akers, Esquire Managing Director Bessemer Trust Suite 800 300 Crescent Court Dallas, TX 75201 Ronald D. Aucutt, Esquire McGuireWoods LLP Suite 1800 1750 Tysons Boulevard McLean, VA 22102 Susan T. Bart, Esquire Sidley Austin LLP One South Dearborn Chicago, IL 60603 Carol A. Cantrell, CPA Briggs & Veselka Co. Suite 700 6575 West Loop South Bellaire, TX 77401 Virginia F. Coleman, Esquire Ropes & Gray LLP One International Place Boston, MA 02110 S. Stacy Eastland, Esquire Managing Director The Goldman Sachs Group, Inc. Suite 550 1000 Louisiana Street Houston, TX 77002 Paul N. Frimmer, Esquire Irell & Manella LLP Suite 900 1800 Avenue of the Stars Los Angeles, CA 90067 NOTE: Please go to www.ali-aba.org/cp040 for biographical information about this faculty. xiii
Lawrence P. Katzenstein, Esquire Thompson Coburn LLP Suite 3400 One US Bank Plaza 505 N. 7th Street St. Louis, MO 63101 M. Read Moore, Esquire McDermott Will & Emery LLP 227 West Monroe Street Chicago, IL 60606 Richard W. Nenno, Esquire Managing Director and Trust Counsel Wilmington Trust Company 1100 N. Market Street Rodney Square North Wilmington, DE 19801-1281 Duncan E. Osborne, Esquire Osborne, Helman, Knebel & Deleery, L.L.P. Suite 1910 301 Congress Avenue Austin, TX 78701 Professor Jeffrey N. Pennell Richard H. Clark Professor of Law Emory University School of Law Gambrell Hall 1301 Clifton Road, NE Atlanta, GA 30322 Charles L. Ratner, Esquire Ernst & Young LLP 1300 Huntington Building 925 Euclid Avenue Cleveland, OH 44115 Bruce S. Ross, Esquire Holland & Knight LLP Suite 2100 633 West 5th Street Los Angeles, CA 90071 R. Eric Viehman, Esquire Vinson & Elkins LLP Suite 2500 First City Tower 1001 Fannin Street Houston, TX 77002 NOTE: Please go to www.ali-aba.org/cp040 for biographical information about this faculty. xiv