While Relinquishing One’s US Citizenship Can Mitigate Estate and Gift Tax Obligations

By Ladidas Lumpkins, Prager Metis International LLC

Relinquishing one’s US citizenship can mitigate an individual’s estate and gift tax obligations, but a “Covered Expatriate”* should plan carefully when disposing of assets. Internal Revenue Code Section 2801 imposes a tax on US citizens or residents who receive certain gifts or bequests from Covered Expatriates (CEs). Even if the property is non-US-situs property, all of it is subject to the 2801 taxing regime.

Prevention of Risks that Threaten Family Assets

By Prof Sergio Guerrero Rosas, Guerrero y Santana, S.C.

As families accumulate important assets over time, they usually face many risks due to their complex lifestyles. Additionally, the exposure to risky situations concerning their assets and personal wellbeing are much greater than average in comparison to those families and individuals that haven’t begun accumulating important assets.

The Present Affected by the Past

By Prof Robert Anthony, Anthony & Cie

With all the evolution of legislation in jurisdictions to collect more taxation, this can affect transactions of the past. In addition, international treaties on exchange of information laws on Base erosion profit sharing as well as the transfer pricing interpretation and case laws, make taxpayers lives more and more complicated.

Delaware State Capitol Building in Dover

Authority to Allocate Trustee Duties Among Multiple Trustees

By Robert V. A. Harra III, Gordon, Fournaris & Mammarella, P.A.

The bifurcation of trustee duties and powers is not a new concept in Delaware. Title 12 of the Delaware Code (“the Code”) has long recognised the ability for a governing trust instrument to restrict a trustee’s authority to dispose of or otherwise deal with specified trust assets.

Successor Fiduciary Liability: When the Follower Must Be the Leader

By Patricia L. Davidson, Mirick, O’Connell, DeMallie & Lougee, LLP

Serving as a trustee often epitomises the phrase “no good deed goes unpunished”. A successor trustee often has additional punishment . . . er . . . responsibilities.

Inheritance Tax in the United Kingdom

By Hed Amitai and Rich Risino, Memery Crystal LLP

The charge to UK inheritance tax (IHT) is at a rate of 40% on any value over GBP 325,000 in an individual’s estate at the date of their death. There are various exemptions and reliefs, beyond the scope of this article, which either increase the GBP 325,000 threshold or take assets outside of the scope to tax completely.

Tax Changes to Testamentary Trusts

By Tony Nunes and Amy Liu, Kelly+Partners Chartered Accountants

The 2018 Australian Federal Budget announced integrity measures affecting testamentary trusts. These changes are effective from 01 July 2019 and affect distributions from testamentary trusts to minor beneficiaries. Unfortunately, the issue of whether superannuation assets form part of the deceased’s estate, remains unresolved.

A Holistic View on Inheritance Planning (2)

By Ashishkumar Bairagra, M L Bhuwania and Co LLP

It’s been said that you cannot imagine the gravity of a situation until it happens to you. A few months ago, my friend’s wife Rachel called to inform me that my friend Asher did not survive a heart attack while driving his car. Asher has just celebrated his 40th birthday last year and was a seemingly healthy individual. He left a registered will and Rachel inherited everything, but how would she take care of it, rather all of it!

Can Cryptocurrency be Inherited?

By Craig Ross, Pallett Valo LLP

You’ve heard the terms – cryptocurrency, blockchain, bitcoin – but unless you have been personally dabbling in the emerging virtual currency marketplace, it is unlikely you have given it much thought. This article attempts to decode the mystery of cryptocurrency, explains its legality in Canada, and discusses whether cryptocurrency can form a legitimate part of a deceased’s estate.

Trust Structures Catering to India-UK Family Office Investments

By CA Raghu Marwah & CA Anjali Kukreja,R.N. Marwah & Co LLP

India and United Kingdom (UK) have a strong bilateral investment relationship. Top five investors of UK include India whereas UK ranks on top of the G20 investors in India. There were rife speculations that political and economic uncertainty in UK over Brexit would deter Indian investments i.e. the Indian companies would hold back on UK expansion plans or at least defer opening new offices in UK. However, Indian investments have continued to show great confidence in UK and have grown very strongly amidst the ever changing political and economic scenario of UK.