Apr 05, 2018
Some have interpreted the recent Alaska decision in Toni 1 Trust v. Wacker, 2018
WL 1125033 (Alaska, Mar. 2, 2018) as a death knell to using U.S.-based domestic
asset protection trusts, known as DAPTs, in client planning. We believe that this
interpretation is incorrect, but practitioners may choose to use this case as an
opportunity to write to clients to inform them of the case and what planning options
to consider. Other practitioners may feel that the negative interpretation some
commentators have given to Wacker might make it prudent for them to
communicate the negative perception to clients with DAPTs. With the new large, but
temporary, estate tax exemptions, the use of DAPTs may be more important than
ever. The following sample letter may be adapted by practitioners to communicate
these changes to clients, and former clients, if there’s a concern that they may be
relying on prior advice with respect to DAPTs previously completed.
Read their commentary here.
No related posts.