The Guy wrote:
- quote -

No. Retitling is not a taxable event.

Dave

In article <jaN6h.25710$TV3.15127[at]newssvr21.news.prodigy.com> ,
Tad Borek <borekfm[at]pacbell.net> wrote:
- quote -

Does anyone know if retitling an asset, such as a regular taxable mutual
fund account, when put into a trust is a taxable event?

TIA
--
Chainyanker

P.Schuman wrote:
- quote -


Trusts are a big topic but generally, yes, what you're describing is a
common use of one. H & W Smith create the H & W Smith trust which is
basically just a piece of paper, the document creates an entity. You
then retitle assets in the name of that entity, so accounts that used to
say "H & W Smith JTWROS" might now say "H & W Smith Rev Trust Dated
11/15/06". (a common mistake is forgetting to fund the trust by
retitiling assets)

Fundamentally it's still H&W's property and they have full use of it.
But the trust document describes what happens to the property when
either H or W (or both) die. If it's a big estate there's going to be
some wording in there so that each spouse's estate-tax exemption is
preserved. By amending that trust document you're able to change the
beneficiaries of the assets easily. At death you avoid the process of
probating a will, at least for the assets in the trust. Also the trust
isn't a public record whereas probate creates a public paper trail.
You'd also have a will though, for furniture & other personal property
for example.

This is just one aspect of estate planning. Other important pieces
regard addressing unpleasant but likely circumstances. Powers of
attorney when H or W become incompetent or incapacitated, medical
directives, etc. For this piece, arguably everyone needs to do estate
planning.

-Tad

PS I really like the estate-planning guides from self-help legal
publisher Nolo Press www.nolo.com, and recommend checking them out even
if used just for background before meeting an atty.

"Tad Borek" <borekfm[at]pacbell.net> wrote in message
news:La66h.5603$Sw1.3744[at]newssvr13.news.prodigy.com...
- quote -

then streamline what they have - making sure things look ok -
and then setup the legal issues to handle those existing assets ?

BTW - for estate planning - are things like Trusts merely umbrellas
to contain/admin existing assets ?
ie - can various investments be transferred to a trust, or what ?
like existing mutual funds, stocks, homes, condos, cars, etc

P.Schuman wrote:
- quote -


This was an odd thread, I don't know why a CPA would even be an option
because so little of it has to do with taxes.

For your grandparents...how big is their estate?

-Tad

came across this old thread from a couple of months ago
concerning Estate Planning...

So - to get grandma & grandpa and their assets in order,
what exactly is required of a person for Estate Planning ?
I would think it would be more of the bean counter 1st,
to see what you have and how to hold onto it,
and then 2nd setup the vehicles with the legal papers...

In summary - my thoughts -
1st get all the bean counter info straight
2nd get all the paperwork & vehicles setup to make it happen

"Mechanics of Money Financial BBS" wrote
- quote -

Are you an attorney?

The above seem to me to constitute legal advice. It would be
interesting to know whether you actually have legal
authority to give it.

Saying one should never hire a CPA for one's "legal needs"
is like saying one should never read web sites like those on
estate planning at your own web site,
http://www.mechanicsofmoney.com/main1.php?catid=28 . After
all, this site lacks the proper (and to my knowledge,
legally expected, BTW) disclaimer that it is not a
substitute for speaking to a lawyer. Or if the disclaimer is
there, it's buried.

The unauthorized practice of law is a crime in most states, and in all
states the state has the right to shut down and collect damages from
CPAs. Providing very basic estate planning advice may or may not be
"practicing law." If it goes beyond very basic estate planning advice
(for example if it discusses state rights, such as how your real
property or other assets are held, etc.), then it probably crosses the
line. Only licensed attorneys can practice law. You should never hire
a CPA for your legal needs.

Also, you should know that most CPAs charge just as much as attorneys
do these days. When in doubt, hire the attorney.



Gary Brolis
http://www.mechanicsofmoney.com
http://www.mechanicsofmoney.com/blog.php


Steve wrote:
- quote -

Free advice from Toolsformoney.com:

If this CPA was trying to practice law with being a lawyer, then he's
in big trouble.

More than likely, he's also a lawyer. Just ask or check him out.

If he's a legit lawyer, then you may as well hire him to make your will
as they're all about the same when it comes to making simple wills, and
you already have a relationship with him. The only other thing you can
do to find an atorney that's "better" would be to call dozens of them
or get a referral from someone you know.

But when it comes to getting a simple will made, it's all pretty much
standard boilerplate when it comes to the documents.

Unless you have an estate worth over $500k or so, you won't be needing
much in the way of estate planning.

--Mike...


Steve wrote:
- quote -

Steve wrote:
- quote -

My estate attorney is also a CPA. This is what you want. He does not
charge any more for his additional expertise. Do NOT get an attorney
who does not exclusively do estate planning. There are many changes
stuck in the Senate and one that just passed. A general practitioner
is likely to be a little slow in picking up these things.

"dapperdobbs" <GeorgeCFL[at]hotmail.com> wrote in message
news:1157394778.908526.216510[at]i3g2000cwc.googlegroups.com...
- quote -


my experience is that there are a lot of estate planning attorneys who know
only the rudimentary aspects of estate planning, which might be just fine
for what you need to do. I haven't met a CPA that knows anything about
estate planning. On the other hand, I have rarely met an attorney that can
add two plus two. Attorneys are good at the big picture, but I strongly
suggest you educate yourself to ride herd. I personally wouldn't trust an
estate planning attorney without stringent supervision from me, asking lots
of questions, questioning lots of answers, and asking for back up info to
verify. Trust, but verify.

"dapperdobbs" <GeorgeCFL[at]hotmail.com> wrote in message
news:1157394778.908526.216510[at]i3g2000cwc.googlegroups.com...
- quote -

no, "licensed attorney" means a person licensed to provide legal advice -
like estate planning. It is a requirement for MUCH more than just appearing
in court.

Does this CPA have a web site promoting his estate planning offerings? I'd
be curious.

Steve <stevespamtrap[at]yahoo.com> wrote in
news:4m2t5vF44hjhU1[at]individual.net:

- quote -

It's perfectly reasonable to think of a CPA focusing on estate planning to
know his stuff. But you will still need to have documents drafted by an
attorney.

I should have pointed out above that I'm currently a first-year evening
student in law school. While I'm not yet anywhere near qualified to
practice (even on behalf of myself), within a few years I expect to be
licensed for general practice and qualified to catch problems with
something like a basic will. However, I won't have the tax expertise of
a CPA when I pass the bar.

That question may be resolved by the term "licensed attorney". I
believe that refers to a license to appear as a legal representative in
a court.

I once tried to save some bucks by having a paralegal do some work for
me (in a field unrelated to estate planning) only to discover that a)
the work was refused by the governing agency, and b) the paralegal was
in trouble with the bar for (mis)-representing that she could do all
the work necessary. I subsequently got an attorney, and things
progressed.

My impression is that attorney's do legalities, and CPA's make sure all
the pennies add up. CPA's do have some legal background, but as far as
I know are not registered with bar associations as licensed legal
practitioners. Some attorneys also have a CPA, but I think the attorney
comes first, then the CPA.

Recently I had to deal with some shenanigans surrounding a 401(k)
rollover, which required me to consult a CPA to straighten out. I was
very pleased with his knowledge and helpfulness, and offered him my tax
prep business for the upcoming tax season.

However, when I mentioned that I also need to setup a will, I started
getting moderate-pressure sales tactics to let him do my estate planning
as well. My situation is pretty simple (little net worth, no kids yet),
but I always presumed that estate planning was a probate attorney thing
rather than an accounting thing. Am I mistaken in that presumption...
is a sharp CPA a perfectly reasonable option for basic estate planning?