IRS, Treasury Issue Proposed Estate-Tax Rules | AccountingWEB

IRS, Treasury Issue Proposed Estate-Tax Rules

The Treasury Department and Internal Revenue Service (IRS) issued guidance addressing the requirements for a "qualified severance" of a trust for purposes of the generation-skipping transfer (GST) tax.

"We are pleased to be able to provide guidance in this complex area of the law," stated Acting Assistant Secretary for Tax Policy Greg Jenner. "This guidance should enable taxpayers to achieve the most efficient and effective use of their GST exemptions consistent with the law."

The proposed regulations implement recent statutory changes that expanded the availability of a qualified severance. The proposed regulations provide guidance concerning the proper procedure, permissible timing, and required reporting of a qualified severance, and the permitted methods of funding the resulting trusts.

You can review the entire report Qualified Severance of a Trust for Generation-Skipping Transfer (GST) Tax Purposes regulations here.

Wait, there's more!
There's always more at AccountingWEB. We're an active community of financial professionals and journalists who strive to bring you valuable content every day. If you'd like, let us know your interests and we'll send you a few articles every week either in taxation, practice excellence, or just our most popular stories from that week. It's free to sign up and to be a part of our community.
Premium content is currently locked

Editor's Choice

As part of our continued effort to provide valuable resources and insight to our subscribers, we're conducting this brief survey to learn more about your personal experiences in the accounting profession. We will be giving away five $50 Amazon gift cards, and a $250 Amazon gift card to one lucky participant.
This is strictly for internal use and data will not be sold
or shared with any third parties.