How Taxation of Life Insurance Affects Estate and Wealth Planning (Completed)

Date: Thursday, August 15, 2019
Instructor: Steven G. Siegel
Begin Time:  9:00am Pacific Time
10:00am Mountain Time
11:00am Central Time
12:00pm Eastern Time
CPE Credit:  2 hours for CPAs
2 hours Federal Tax Related for EAs and OTRPs
2 hours Federal Tax Law for CTEC

Life insurance is an asset that many of our clients own – but, unfortunately, few understand all of the important tax consequences involved with their policies. As trusted advisors, tax professionals and planners need to make sure clients understand and use this asset effectively as part of their wealth management and estate plans. The Program will explore the income, gift, and estate tax rules for life insurance you should know and address key tax planning issues, including irrevocable life insurance trusts, the use of life insurance in buyout agreements, corporate-owned life insurance, gifts of life insurance policies to charity, tax-free policy exchanges, life settlements, and more.

Topics Covered

  • The income, gift, and estate tax issues surrounding life insurance
  • The transfer for value rule
  • Opportunities and pitfalls of life insurance trusts
  • Life insurance in cross-purchase and entity buyout agreements
  • Life insurance owned by corporations on partnerships on the owners' lives
  • Taxation of life settlements and policy sales by terminally ill persons
  • Tax-free policy exchanges
  • Gifts of life insurance policies to charity

Learning Objectives

  • Identify a basic understanding of life insurance and related federal taxation considerations
  • Recognize how to plan for using life insurance as an asset in wealth management and estate planning
  • Identify how to use estate plans that take advantage of life insurance tax treatment


Instructional Method
Group: Internet-based

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites

Advance Preparation

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