Does an IRS Tax Lien Attach to Irrevocable Trust?

Irrevocable trusts provide excellent asset protection for trust beneficiaries. Protection is codified in Florida statutes. Florida statute protect a beneficiary’s interests in irrevocable trusts that are either spendthrift trusts or discretionary trust. Florida statutes states that a a creditor cannot reach or force assignment of a debtor’s beneficial interest in a spendthrift trust. A spendthrift…

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Does a Spouse Automatically Inherit Everything in Florida?

Some new clients have told me they have not made a will or a testamentary trust because they had assumed their spouse would automatically inherit all their individual property. These people misunderstand Florida law. Florida law entitles a surviving spouse rights in some, but not all, of a decedent’s property. A surviving spouse will inherit…

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Operating Agreement Can Avoid Probate of Florida LLC Membership Interests.

From time to time we receive inquiries about using limit liability companies to avoid probate of business interests and real estate. Some people believe that they can write terms and conditions in an LLC operating agreement that control the transfer of a member’s LLC interest after the member’s death. They believe that the deceased member’s…

Can Same Person Be Beneficiary And Sole Trustee of Florida Irrevocable Trust?

Any individual may be a trustee and a beneficiary of a trust assuming that the trust agreement names other lifetime beneficiaries or successor beneficiaries after the death of the initial beneficiaries. For example, suppose a client wanted to serve as trustee of an irrevocable trust created for his benefit. The client’s general attorney cautioned him that he…

Should I Transfer My Florida Homestead To My Living Trust?

Clients who prepare living trusts for estate planning frequently will ask me whether they should transfer the legal title of their Florida homestead property to the name of their living trust. If the property is transferred to the trust the successor trustee will transfer or dispose of the property after the death of the trustmaker…

Asset Protection in Post-Death Living Trust Administration

Asset protection planning often continues after death, especially when a surviving spouse has judgements or is vulnerable to lawsuit.  The design of your estate planning determines whether your assets will be vulnerable to creditors of your surviving spouse or children. The typical living trust based estate plan for married couples the first spouse to die…