Before You Start Filling in a Form 1041
You Better Know How to Read a Trust Document
And the Special Tax Accounting Rules!
Great numbers of seniors are transferring substantial wealth to the next generation. And the numbers will grow astronomically once the baby boomers start to do the same.
Typically these wealth transfers occur through trusts, either lifetime or testamentary. And there are many types of these trusts - - everything from revocable living trusts to garden variety irrevocable trusts to more complex IDGTs, QPRTs, GRATs and CRTs.
You, the CPA or tax preparer, can have a big role in preparing trust accountings and filing tax returns (Form 1041), but this work isn’t as straight forward as personal or business accounting and tax prep. There are lots more “grey areas”. Plus, it’s more complex because the rules are dependent upon both federal and state law, as well as the terms of the trust document. You need to know:
- How to read and understand a trust document
- How trusts work (basic trust principles)
- The key legal terminology (what the words-of-art actually mean in plain English)
- Important trust clauses you must pay attention to
- The differences between the various types of trusts
- How these trusts are categorized for tax and accounting purposes as “simple” vs. “complex” or “grantor” vs. “non-grantor”
- Basic trust tax accounting concepts
- How trust income is taxed to either the trust and/or the beneficiaries
- “Fiduciary accounting income” vs. “Tax accounting income”
- How the applicable State Principal and Income Act comes into play
- How to shift capital gains to the beneficiaries (rather than pay the higher trust tax rate)
- And other tax planning opportunities
If you (or a junior associate) are just beginning to handle trust tax accounting and prepare 1041s, or would like to begin, join us and nationally renowned income, gift and estate tax expert, Robert S. Keebler, CPA/PFS, MST, AEP (Distinguished) for a basic level, 90 minute presentation entitled “What CPA’s Should Know About Trust Instruments”.
Your purchase includes: Downloadable PDF handout materials and MP3 audio recording. A PDF transcript may be added on for an additional fee during the checkout process.
- Program Title: What CPA’s Should Know About Trust Instruments
- Speaker: Robert S. Keebler
- Duration: 90 minutes
ABOUT THE SPEAKER
CPA/PFS, MST, AEP (Distinguished), CGMA
Robert S. Keebler, CPA/PFS, MST, AEP (Distinguished), CGMA is a partner with Keebler & Associates, LLP and is a 2007 recipient of the prestigious Accredited Estate Planners (Distinguished) award from the National Association of Estate Planning Counsels. He has been named by CPA Magazine as one of the Top 100 Most Influential Practitioners in the United States and one of the Top 40 Tax Advisors to Know During a Recession. Mr. Keebler is the past Editor-in-Chief of CCH’s magazine, Journal of Retirement Planning, and a member of CCH’s Financial and Estate Planning Advisory Board. His practice includes family wealth transfer…
IMPORTANT NOTICE REGARDING CE CREDIT
The Ultimate Estate Planner, Inc. and the presenter are not registered Continuing Education Sponsors and this program is not pre-approved for continuing education credit for any state or regulatory agency.
However, please note that each program includes a Certificate of Completion and, depending on the license and the regulatory agency for which governs a participant’s CE credit, some professionals may be able to self-report his or her participation and receive credit. It is the responsibility of the participant to complete any process necessary to seek self-reported CE credit for his or her participation. By registering for a teleconference (or purchasing on On-Demand program), you understand that CE credit is not guaranteed or warranted by the presenter or The Ultimate Estate Planner, Inc.