Principal John Hartog examines the recent passage of Proposition 19 and its various tax implications. Eliminating the so-called “Lebowski Loophole,” the proposition applies to transfers of residences occurring on or after Feb. 15, 2021. However, Prop 19 does create benefits for certain taxpayers, and John explores these new criteria.
Principal Ryan Szczepanik presented on “Tax Strategies and Implications When Settling a Trust or Estate Dispute” at the April 2021 Santa Cruz Estate Planning Council.
Private Judge Trust Litigation Trials
California law has long recognized a settlor’s right to restrict a beneficiary’s use of trust assets. Restraints on alienation, spendthrift clauses, shutdown clauses and wholly discretionary trusts are a few of the tools settlors may use when creating a trust for the benefit of someone likely to have creditor problems.