Article on Dodging Charitable Planning Pitfalls

Tye J. Klooster & Anna G. Kardaras (attorneys, Katten Muchin Rosenman LLP) recently published an article entitled, Dodging Pitfalls in Charitable Planning with Interests in Pass-Through Entities, Probate & Property Vol. 28 No. 1 (January/February 2014).  Provided below is the beginning of their article:

Charitable planning with interests in pass-through entities is complicated by various pitfalls.  A practitioner advising a client in this type of planning is required to master a significant number of areas of tax law—from income tax charitable deduction limitations, to excise tax laws, to Subchapter K and S corporation tax laws—in order to dodge those pitfalls.  The purpose of this article is to draw attention to a number of pitfalls that exist for Subchapter K and S corporation tax laws when an individual transfers interests in pass-through entities to charity.