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Estate Planning Attorney is asking to create GRATS for my PC any ideas?

I need more information re. GRATS. Any suggestions or ideas?
This definitely requires some research. GRATS are a way high-net-worth people (estates over $5MM) can shelter assets from inheritance and gift taxes, if I understand it right. You put assets into an irrevocable annuity trust, and then receive payments over the life of the trust's annuity, which is established per IRS rules and interest rate assumptions, now around 2%. I ASSUME you would pay ordinary income taxes on the payments.

The idea is that you will deplete the trust assets at the end of the pre-established term. Any assets remaining in the trust at the end of the term go to designated beneficiaries, tax free as I understand. But the trust is irrevocable; you lose control for the term of the annuity.

What I don't know is; what happens if the Grantor dies before the annuity term ends? I've also read that higher interest rates will make these instruments less attractive, but I don't understand why.

I recommend you go on-line and read what's there. Maybe start with Wikipedia for an overview, then look at the sites posted by Attorneys who do these things. After that, your estate attorney should be able to fill in the blanks - if he can't make it clear, I'd look for another advisor.
Hold off.
I understand the whole issue may go away with the new Tax Bill?

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