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Grantor Retained Annuity Trust: GRAT, Intentionally Defective Irrevocable Trusts

Just one more meaningful technique available to the high net worth individual, these are common terms thrown around in the industry to be fashionable, but rarely understood correctly. A unique opportunity to pass the interest in either a closely held business or large income producing asset to the next generation at a significant decrease in taxable value.

IRS tax court cases potentially consist of reviewing valuations and the acceptable formulas behind these two techniques. The in-depth experience and knowledge TailorMade Financial offers can bring both of these entities to life and demonstrate their impact on the clients’ situation.