Advisers Navigate State-Only QTIP Trusts as Decoupled Estate Taxes Reshape Planning for Married Couples
Updated
Updated · Wealth Management · May 27
Advisers Navigate State-Only QTIP Trusts as Decoupled Estate Taxes Reshape Planning for Married Couples
1 articles · Updated · Wealth Management · May 27
State-only QTIP elections are emerging as a key estate-planning tool for clients in states that levy their own estate tax, especially when reviewing or drafting plans for married couples.
The election can help manage or avoid state estate tax at the first spouse’s death, making trust language that permits it a critical drafting issue for attorneys and wealth advisers.
That need stems from states decoupling their estate-tax systems from the federal regime, creating both new planning complications and opportunities.
The report frames state-only QTIP strategy as one of the most important and nuanced responses for practitioners working in state estate-tax jurisdictions.
Is your inheritance safe from federal tax but at risk from a surprise state 'death tax'?
How can one trust protect your new spouse and also guarantee your children's inheritance?