Tax Tips for Those Caring for a Child with Special Needs
MARCH 17, 2014 VOLUME 21 NUMBER 11 We last wrote about income tax issues associated with providing care and support for relatives two years ago — just before tax filing time. Since we’re just a month away from tax time 2014, it’s a good time to review and update. What’s changed since our 2012 newsletter […]
Why Do I Need a Lawyer — Can’t I Write My Own Will?
OCTOBER 14, 2013 VOLUME 20 NUMBER 39 “My father hates, absolutely hates, lawyers,” a casual acquaintance tells us at a social gathering. “I know it’s a bad idea, but can’t he just write his own will?” Let’s get the answer out of the way right up front: yes, he can. And there’s a very high […]
The Affordable Care Act and People with Disabilities
SEPTEMBER 30, 2013 VOLUME 20 NUMBER 37 The Affordable Care Act is upon us, or almost so. October 1, 2013, is usually listed as a key date for the ACA, and it is — but nothing actually changes on that date. Quite a few changes have become effective already. The changes receiving the most media […]
Taxation of Pooled Special Needs Trusts
SEPTEMBER 23, 2013 VOLUME 20 NUMBER 36 We write a lot about taxation of trusts, and especially of special needs trusts. But there is one type of trust that we haven’t written much about, and we can’t find other explanations for. “Pooled” special needs trusts are a special kind of trust, and there is much […]
Tax Issues for Trusts — Simplified
JULY 29, 2013 VOLUME 20 NUMBER 28 Judging from the questions and comments we get here, taxation of trusts is one of the most confusing issues we regularly write about. We’re going to try to collect the most important rules here for your convenience. Note that we will not try (in this summary) to touch […]
Special Needs Trust Defective Because Arbitrary Rules Not Followed
JULY 22, 2013 VOLUME 20 NUMBER 27 We often find ourselves reassuring clients that the law makes sense. It may not be obvious or intuitive, but we can usually explain why some legal principle developed the way it did, and why it would be a bad thing if it were otherwise — even if that […]
Court Avoids Deciding Fate of Unnecessary Special Needs Trust
MAY 13, 2013 VOLUME 20 NUMBER 19 We read an interesting appellate court case this week involving an Indiana special needs trust. The court’s resolution of the case was actually not all that interesting — it was dismissed on technical grounds. But the story was an interesting one, and involved a problem that we see […]
Court Ruling on Special Needs Trust Does Not Resolve Medicaid Eligibility
APRIL 22, 2013 VOLUME 20 NUMBER 16 This week we bring you a story that is simultaneously simple yet profound. It involves an arcane corner of law — the intersection of trust administration and Medicaid eligibility. Its simplicity is obvious: it results in a court determination that Medicaid eligibility is determined by the state Medicaid […]
How To “Fund” Your Revocable Living Trust
APRIL 15, 2013 VOLUME 20 NUMBER 15 We keep bumping into versions of the same story: “Mom and dad created a revocable living trust. They wanted to avoid probate, and my sister lives in a group home because she is developmentally disabled. The trust named me as trustee, and my sister’s share goes into a […]
Special Needs Trusts and the New Medicare Tax
MARCH 25, 2013 VOLUME 20 NUMBER 12 You may have heard about a potentially significant new tax liability for special needs trusts. With adoption of the Patient Protection and Affordable Care Act (what is often referred to as “Obamacare”) Congress created a new tax intended for high earners to contribute to Medicare. A fairly complicated […]
