Seminar ID: 100629

Applying the 2% Rule to Estates and Trusts

Presented By:
Robert E. Barnhill

Attorney
Live Speakers, Inc.

You will Learn:

  • When the rule applies
  • When the rule does not apply
  • How the IRS approaches the issue
  • The various practitioners’ responses and
  • Potential future applications.

This 10 minute segment is taken from our full OnDemand Webinar, entitled "Navigating Form 1041." One of the issues facing preparers is the application of Section 67(e), the 2% AGI rule, to estates and trusts. Much litigation has taken place over the last 20 years concerning this issue. In 2008, the US Supreme Court resolved the issue in M. J. Knight v Commissioner. Discover how the Court ruled and how it applies today.