Have you heard about Family Limited Partnerships as an estate planning tool?
Family limited partnerships, or “FLP,” are an effective way of minimizing your estate tax burden, while at the same time transferring assets to family members at a lower value than in a direct transfer. While the IRS has investigated this type of estate planning tool for signs of abuse, the FLP is a perfectly legal way of reducing the value of your estate, as long as it is done correctly. Reducing the value of one’s estate has now become more important. With 2011 on the horizon, and Congress sitting on its hands, the estate tax is on its way back – with a vengeance! Read more