The Generation-Skipping Transfer Tax and Dynasty Trusts 2024

Overview

Transfer taxes, such as the estate and gift tax, create a drag on the accumulation of wealth over a family’s generations. The government promulgated the generation-skipping transfer (GST) tax to discourage avoidance of the estate and gift tax by families. Randy Gardner explores: GST tax terminology, how the GST tax is calculated, ways to avoid the GST tax, and how to design a dynasty trust to pass property from generation to generation.

Highlights

• Calculation of the GST tax, and how it relates to the estate tax and gift tax
• Direct skips, taxable distributions, and taxable terminations
• GST tax allocations, Reverse QTIP election, and Exempt and Nonexempt Trusts
• Calculating the benefit of and designing Dynasty Trusts

Prerequisites

An understanding of estate and gift tax principles

Designed For

CPAs, attorneys, bankers, financial professionals, insurance professionals, enrolled agents and professional staff.

Objectives

• Determine how the GST tax is calculated and how it relates to the estate and gift tax
• Recognize language in estate planning documents that warrants allocation of the GST tax exemption and making the Reverse QTIP election
• Identify opportunities to establish Dynasty Trusts to possibly avoid transfer taxes for generations to come

Preparation

None

Notice

This course is provided by a third-party vendor. Please note that login instructions will not be available in the ‘My Upcoming CPE’ section of the NESCPA website. Instead, the login instructions will be sent directly to you via email by the California Education Foundation (CalCPA). Upon completing the course, your hours will be recorded in the ‘My CPE Tracker’ section of the NESCPA website.