| A follow-up question…
CLIENT QUESTION:
In today’s Listen to Lawrence Letter about tax ID numbers for an irrevocable trust, in the second paragraph you state when one of the grantors passes the trust will now need a tax ID number. Are there any other implications? My husband and I have an irrevocable trust with your firm.
MY RESPONSE:
Actually, I have one further point before I bring up another implication. I said that a joint Medicaid trust will need to get a tax ID# after the first death. This is only true if and when the trust has income. If the only asset in the trust is a house, then you can continue with the social security number (until you sell the house at least).
The other ramification you should know about is that all our irrevocable trusts can be revoked if you get the consent of the trust beneficiaries (which they are under no obligation to do). This will no longer be true when one of the grantors is no longer alive. I hope this helps!
And, if anyone you know would like to
receive this Listen to Lawrence Letter just
tell them to send their email address to
info@davidowlaw.com and I’ll add them to the list!
As always, please send me your questions. If you are thinking about it, others are probably too, so my answers will no doubt help you and many others.
Let’s stay connected.
Stay safe! |
