WebCredenza 2024 How to hold business interests in a trust

Recording available after original program date, 5/15/2024

There are tax and other benefits to holding a closely-held company or other business interests in a trust.  But there are also substantial risks.  Trusts are typically required to diversify their holdings. But when a company is held in a trust there is almost a highly concentrated, and thus risky, position. Similarly, holding real estate or nontraditional assets also involves issues of liquidity and proper fiduciary and income tax administration. This program will provide you with a real world guide placing business interests in a trust.

• Dilemmas of operating companies in trusts – concentrated assets, speed, decision-making.
• Concentrated assets and the fiduciary duty to diversify.
• Counseling clients about the right trust for different asset classes.
• Preserving S Corp status or other tax benefits in trust.
• Business succession planning for family businesses.
• Managing minority stakes in operating companies or assets.
• Financial and tax administration traps.

Opinions and positions stated by presenters of MoBarCLE programs are those of the presenters and not necessarily those of The Missouri Bar. This program is intended as information for lawyers in Missouri, in conjunction with other research they deem necessary, in the exercise of their independent judgment.

Note: This material qualifies for self-study credit only. Pursuant to Regulation 15.04.5, a lawyer may receive up to six hours of self-study credit in a reporting year. Self-study programs do not qualify for GAL Certification, ethics, elimination of bias or Kansas credit.