Course Description
LLCs can provide your clients with a reliable way to protect the estate's assets, prepare the beneficiaries for taking over the family business, and to plan ahead for the estate administration. Are you making the best use of this versatile tool in your practice? This seminar, designed specifically for estate planners, combines business and legal knowledge to help you realize LLCs' full potential as an estate technique. Register today!
- Weigh the client's goals against the practicality of the LLC to determine whether it's a good fit.
- Determine what LLC structure allows grantors the greatest control.
- Learn how tax conversion to S corp is accomplished and how it will change the estate planning documents.
- Prevent self-dealing by managing members.
- Stave off creditors with effective use of charging order protections.
- Prevent conflicts of interest by clearly identifying who your client is.
- Find out how LLCs work with life estates and learn to plan a gradual transfer of interest.
- See how trusts can be used in combination with LLCs to protect and transfer real estate and other assets.
- Ensure IRS compliance and update your step-up basis planning techniques for the new tax regime.
Agenda
INITIAL CLIENT CONSIDERATIONS
9:00 - 9:30, Written by Daniel V. Goodsell. Presented by Daniel V. Goodsell in Las Vegas and James A. Kalicki in Reno.
- Information to Get from the Client
- Client Consultations: Uncovering Family Dynamics and Goals
- Weighing Goals against Practicality
STRUCTURING THE LLC WITH FUTURE GENERATIONS IN MIND
9:30 - 10:20, Written by Daniel V. Goodsell. Presented by Daniel V. Goodsell in Las Vegas and James A. Kalicki in Reno.
- LLC vs. LLP (Nontax)
- C vs. S Corporation
- LLC as an S Corp - Potential Changes to Legal (Estate Plan) Documents
- Why and How to Convert to an LLC
- Multiple Entities to Limit Liabilities
- Series LLCs for Gradual Transfer of Duties and Powers
- Single-Member LLCs after Olmstead
- Articles of Organization and Other Formalities
LLC FUNDING AND MANAGEMENT: PREVENTING HEIR CONFLICTS
10:35 - 11:25, Written and presented by Brian C. Kelly in Las Vegas and Reno.
- Funding the LLC
- Choosing a Management Structure
- Member-Managed
- Manager-Managed
- Voting Rights Between Generations
- When Using Advisory Panels and Professional Trustees is Worth it
- Transfer Restrictions
- The Problem of Self-Dealing by Managing Members
- Sample Operating Agreement Provisions
ASSET PROTECTION WITH LLCS
11:25 - 12:15, Written and presented by Brian C. Kelly in Las Vegas and Reno.
- Forward and Reverse Veil Piercing
- LLC Charging Order Protections
- The Danger of Single-Member LLCs
- Preserving the Asset Protection Value of the LLCs
- Thoroughly Documenting the "Business Purpose" of the LLC
- Observance of Formalities
- Preventing Assets Comingling
TRANSFERRING LLC INTEREST DURING LIFE AND AT ESTATE ADMINISTRATION
1:15 - 2:05, Written by Ken R. Ashworth. Presented by Ken R. Ashworth in Las Vegas and Stephen C. Moss in Reno.
- Buy-Sell Agreements, Options and Similar Arrangements
- Planning and Executing a Gradual Transfer
- Business Continuation vs. Dissolution at Estate Administration
- The Role of Non-Family Business "Partners"
- Working with Valuation Specialists
- Judicial Dissolution of the LLC
USING LLCS AND TRUSTS TOGETHER
2:05 - 2:35, Written by Kristen E. Simmons. Presented by Kristen E. Simmons in Las Vegas and Jason C. Morris in Reno.
- Choosing the Type of Trust to Use
- Protecting and Transferring Real Estate
- Case Examples of Using LLC and Trust in Combination
- Administration Costs
TAX PLANNING AND REPORTING
2:50 - 3:30, Written by Kristen E. Simmons. Presented by Kristen E. Simmons in Las Vegas and Jason C. Morris in Reno.
- Current Federal and State Tax Regime: The Effects of ATRA
- Step-Up in Basis and Asset Freezes in the World of High Tax Exemptions
- Income Tax Hurdles
- Capital Gains Tax Planning
- Valuation Discounts and Disclaimers
- Income Earned out of the Estate
- IRC Section 2036 - Retained Enjoyment in Life Estates
- Modifying and Updating Existing Estate Plans
LEGAL ETHICS
3:30 - 4:30, Written by Ken R. Ashworth. Presented by Ken R. Ashworth in Las Vegas and Stephen C. Moss in Reno.
- Who Is Your Client? Avoiding Conflicts of Interests
- Duty of Competence: When to Refer an LLC Case Out
- Preventing Fraudulent Transfers
- Attorney Fees
- Attorney Fiduciary Liability