Legal Question in Tax Law in California

My son is sole trustee and beneficiary of an Irrevocable Insurance trust funded with his own money and which in turn is the owner and beneficiary of an insurance company variable annuity contract of which I am the annuitant. Assuming option to annuitize is never taken and I die, is the value of the variable annuity or the annuitant death benefit part of my estate and therefore subject to federal estate tax?


Asked on 9/09/11, 11:50 am

1 Answer from Attorneys
Donald Field Donald L. Field, Jr., Attorney at Law

yes. presumably the purpose of the trust was to attempt remove assets from your son's estate (which under these facts may not be effective as he appears to be a current trustee and beneficiary), or possibly for asset protection purposes. please contact my office if you need additional information or services regarding federal gift, estate and generation skipping tax planning and techniques.

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Answered on 9/10/11, 7:50 am


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