Wills, Trusts & Estates Prof Blog

Editor: Gerry W. Beyer
Texas Tech Univ. School of Law

Monday, April 18, 2016

New Article On Russian Federation Estate Legislation

RussiaJulia Grunina (Gaidar Institute for Economic Policy) & Irina Tolmacheva (Gaidar Institute for Economic Policy) recently published an article entitled, Review of the Economic Legislation, Russian Economic Developments, 2016, Moscow, IEP Publishers, pp. 94-95. Provided below is an abstract of the article:

In February, the following main amendments were introduced into the legislation: a Civil Code norm as regards refusal of the heir from the estate in favor of other persons was brought in compliance with the Resolution of the Constitutional Court of the Russian Federation; provisions of a number of laws on individual types of non-profit organizations were brought in harmony with provisions of the Civil Code of the Russian Federation; the list of higher education establishments which were granted the right to carry out supplementary profile testing for admission was approved.

April 18, 2016 in Articles, New Legislation | Permalink | Comments (0)

Thursday, April 14, 2016

Bill Introduced In Senate To Make Tax Filing Easier For Low Income

IRSSen. Elizabeth Warren recently introduced a bill that aims to make tax filing for individuals easier. The legislation would create an online, free to use program and allow taxpayers to access any personal information that is held by the IRS even if it was transmitted by a third party. The bill has received the support of insurgent presidential candidate Sen. Bernie Sanders and is viewed by many as targeting the multi-billion dollar per year tax preparation industry. This interpretation has some support based on another provision of the law that would bar the IRS from agreements with companies that in anyway restricts the ability for the Service to offer free preparation services. However, the bill should also seek to expand the hugely successful, but poorly promoted, Volunteer Income Tax Assistance program. In Lubbock, VITA has provided high quality, in person assistance to individuals whose tax situations require help beyond what a interactive program could provide. In addition, the program has helped low income individuals save thousands of dollars from fees they would have otherwise paid to preparation services for what are often returns that can be completed in a small amount time. Hopefully Sen. Warren will look to support some of the currently existing assistance programs and learn from their experience about what the average tax payer needs.

See Naomi Jagonda, Warren introduces bill to make filing taxes easier, The Hill, April 13, 2016.


April 14, 2016 in Current Affairs, Income Tax, New Legislation | Permalink | Comments (1)

Monday, April 11, 2016

California Issues New Regulations For State Obamacare Exchange

CaliforniaCalifornia eagerly embraced the Affordable Care Act at it's inception and was among the first to set up an exchange residents could use to purchase insurance. However, as with all programs, unexpected hurdles were thrown up which prompted changes to the rules concerning payment, transparency, and levels of care in the state. The new rules that were recently released will be phased in over seven years and have the support of key interest groups such as the California Hospital Association. Among the changes are a reduction in reimbursement payments for providers failing to meet minimum quality standards and greater openness about the negotiated rates between insurers and service providers. In addition, primary care doctors must be assigned to new plan enrollees within 30 days and insurers must help customers find lower price medications or discounts. What impact the new rules might have will not be fully understood for years, however, other states are keen to see how the changes play-out as they develop their own package of reforms to their own healthcare marketplaces.

See Ana B. Ibarra & David Gorn, California Insurance Marketplace Imposes New Quality, Cost Conditions On Plans, Kaiser Health News, April 8, 2016.

April 11, 2016 in Estate Planning - Generally, New Legislation | Permalink | Comments (0)

Saturday, April 2, 2016

New Changes Coming This Summer For Gun Trusts

GunGun trust have grown in popularity in recent years as it allows enthusiast to pass along ownership of a collection to family and friends without having to jump through every bureaucratic hoop. In addition, the trusts allowed a modicum of protection to beneficiaries against ever changing laws on gun ownership particularly in regards to background checks. However new rules, which will go into effect on July 13, 2016, will impose background checks on every "responsible person" in the trust including beneficiaries. Until now, a loophole prevented fingerprinting and approval by local law enforcement of members who would have access to or control over the weapons in the trust. As a result, guns and accessories that would otherwise be tightly controlled, such as machine guns and silencers, were able to pass without the same level of scrutiny faced by normal individuals. But the new rule will remove that advantage and potentially impact a beneficiary's ability to access the guns in addition to the fact that cost will go up with the ATF estimating an addition $30 million per year in expenses. As a result, if you or a client have recently considered setting up a gun trust, act now to avoid the new regulations and save some money in the process.

See Rebecca Flewelling, It Will Soon Get Tougher To Create A Firearms Trust, Private Wealth, March 30, 2016.

Special thanks to Jim Hillhouse and Joel Dobris for bringing this article to my attention.

April 2, 2016 in Estate Planning - Generally, New Legislation, Trusts | Permalink | Comments (0)

Thursday, March 31, 2016

Michigan Joins Ranks Of States To Pass Digital Asset Access Law

ComputerThe issue of who can access digital accounts and assets after the death of the owner has been in the news recently since most states did not have any statutes on point which leaves estates to the mercy of user agreements. But Michigan has joined the ranks of states taking action on the issue with new legislation recently signed into law by Gov. Rick Snyder. The bill allows a user to use online tools to dictate who may or may not have access to their online content which can be changed at any time. In addition, wills, trusts, and power of attorneys may set the parameters of who may access an online asset and what level of control may be exercised over it. However, the online tool will control over a will so those using it should keep that in mind when seeking to make changes to the access that was granted in a different document. A copy of the new statute can be found here.

See Alexandra Bahou, New Michigan law lets you designate a person to control your digital assets after death, WXYZ, March 30, 2016.

Special thanks to Brian Cohan (Attorney at Law, Law Offices of Brian J. Cohan, P.C.) for bringing this article to my attention.

March 31, 2016 in Current Affairs, New Legislation, Technology | Permalink | Comments (0)

Thursday, March 17, 2016

Some Details On California's Right To Die Legislation

CaliforniaBeginning June 9, 2016, California's new right to die law will take effect which will make it the largest state to adopt legislation of that type. As with all new laws, there are still many questions about how it will work and who is eligible. First, anyone seeking to exercise their right to die must be aged 18 or older, have a terminal illness that will reasonable produce death within 6 months, be a California resident, and have the mental capacity to make health care decisions. In addition, two doctors, one an attending and the other consulting, must agree on the diagnosis and prognosis of the disease. In order to start the process three different request, two oral and a a written, must be made with 15 days elapsing between oral request. Finally, one last document must be signed before ingesting the drug which provides full notice to the patient of what is about to happen. Many other states, and countries for that matter, will be closely watching how the California system works in practice as they consider similar legislation.

See Lisa M. Kreiger & Jessica Calefati, California's new End of Life law to take effect June 9: Questions and answers, San Jose Mercury News, March 14, 2016.

March 17, 2016 in Death Event Planning, New Legislation | Permalink | Comments (0)

Saturday, February 27, 2016

Wisconsin Latest State To Consider Digital Account Access Legislation

ComputersaThe Wisconsin legislature is considering legislation that will address access to digital assets upon the death of the owner. The current proposal would allow the account holder to set preferences that are sometimes provided by the online service provider such as the after death settings offered by Facebook. Otherwise, default rules will apply that grant a person named in a will or, if no one is named, the next of kin the ability access accounts ranging from email to financial. Recently, this issue has been taken up by a number of state legislatures including Florida which unanimously passed a bill creating a system to dictate access after death. The bill is currently before the Wisconsin Senate after being approved by the assembly.

See Hannah Flood, Bill looks to help protect digital assets after death, NBC15.com, February 25, 2016.

Special thanks to Brian Cohan (Attorney at Law, Law Offices of Brian J. Cohan, P.C.) for bringing this article to my attention.

February 27, 2016 in Current Events, New Legislation, Technology | Permalink | Comments (0)

Tuesday, February 23, 2016

Congress Looks To Solve Medicare Backlog

MedicareOne of the most common complaints among those dealing with Medicare administration is that appeals take an enormous amount of time to resolve. New legislation introduced in the Senate Finance Committee looks to solve the backlog by allocating $1.7 billion over ten years to process claims as well as create a website that will allow organizations and individuals to track the status of the claim. In addition, an official position will be created within the appeals department which will be tasked with clearing case backlogs and providing advanced training to appeals officers. This legislation appears to be introduced at the right time due to the increasing number of Baby Boomers that are served by Medicare creating more pressure on the system. No word on when the legislation will move out of committee and to the Senate floor for a vote.

See Emily Mongan, Bill to expedite Medicare appeals expected to cost $1.7 billion, McKnight's, February 18, 2016.

Special thanks to Brian Cohan (Attorney at Law, Law Offices of Brian J. Cohan, P.C.) for bringing this article to my attention.

February 23, 2016 in Current Affairs, New Legislation | Permalink | Comments (0)

Friday, February 12, 2016

Utah Debates Guardianship Change To Remove Legal Representation Requirement

OversightThe Utah House Judiciary Committee has approved a measure that would alter the current laws concerning legal representation in guardianship proceedings. The proposed change would allow the parents of a disabled adult to seek guardianship rights for their child without needing legal representation for the proposed ward. The sponsor of the legislation stated that it presumes a "loving relationship" between family parent and child which the reviewing court can take into account when ruling. However, critics of the change argue that the constitutional rights of a person fully vest at age 18 and to deprive them of representation could infringe on those rights. In addition, the opposition states that there are a number of low cost or free legal aid societies that can assist in guardianship cases. The change will now be debated by the entire chamber before moving to the Senate if it passes.

See Marjorie Cortez, Bill to alter state's guardianship laws moves to House on 6-5 vote, Deseret News, February 11, 2016.

Special thanks to Brian Cohan (Attorney at Law, Law Offices of Brian J. Cohan, P.C.) for bringing this article to my attention.

February 12, 2016 in Guardianship, New Legislation | Permalink | Comments (0)

Thursday, February 4, 2016

Unhappiness With Form 8971 Filing Requirements

Charitable trustThe IRS has recently issued final Form 8971 as well as instructions for a requirement that will now be placed on the executors of estates filing a Form 706. “The Form requires a schedule for each beneficiary which lists the assets received by the beneficiary and the estate tax value of those assets.” The purpose is to allow the beneficiary to be able to calculate the gain or loss on any assets they received. This new form will have to be filed within 30 days of the Form 706 filing. The process of filing a Form 8971 might be complex and difficult for practitioners. Some may argue for Congress to introduce an amendment to permit the deferment of the due date for the Form 8971 “until either actual distribution is made to the beneficiary or the assets to be distributed to the beneficiary can be precisely identified.”

See Charles Rubin, Form 8971 Filing Unhappiness, Rubin On Tax, February 3, 2016.

Special thanks to Brian Cohan (Attorney at Law, Law Offices of Brian J. Cohan, P.C.) for bringing this article to my attention.

February 4, 2016 in Estate Administration, Estate Planning - Generally, Estate Tax, New Legislation | Permalink | Comments (0)