As a Ventura County estate planning law firm specializing in family partnerships, our firm commonly recieves questions about family partnership options. We have a team of experts with the legal knowledge to answer questions about the process of choosing a family partnership, and what the benefits of proper estate planning can be.
Our firm can provide expert legal services as estate planning attorneys. We are a Southern California based law firm in business since 1985. We specialize in family partnerships and estate planning matters.
To learn more about family partnerships, or if you would like a free consultation to learn if a family partnership is right for you, please do not hesitate to contact us at (805) 482-2282, or e-mail us.
Do some income tax traps exist?
Some transfers to a family partnership would trigger income and so are traps for the unwary. Some of these traps include the following:
– transferring more than 50 percent of the interests of another partnership to the family partnership may cause a “taxable termination” of the other partnership; or
– transferring an asset that has liabilities in excess of its income tax basis will trigger income, most likely capital gain.
Another trap is if the partnership dissolves within five years, you must be careful as to which partner receives appreciated property that had been contributed to the partnership.
It is our privilege to guide clients through estate planning decisions
