CLE on Trusts and Family Businesses

The American Law Institute Continuing Legal Education (ALI CLE) is presenting a telephone seminar and audio webcast entitled, 3.8% Net Investment Income Tax: Trusts and Family Businesses, on Tuesday, February 18, 2014.  Provided below is a description of the event:

Register today for this CLE program on the 3.8% Net Investment Income Tax (“NII Tax” or “NIIT”) so you can learn about the impact of the Final Regulations on trusts and family businesses. These Final Regulations under Internal Revenue Code Section 1411 issued on December 2, 2013 (“Final Regulations”) have been hailed as “taxpayer-friendly” and a major improvement over the original regulations proposed in 2012. By the end of this program, you will have a firm understanding of the NII Tax and how it affects trusts and family businesses. Programming note: although the program assumes a familiarity with the NII Tax, presenters will highlight its essential points. Discussion will include:

• determining which trusts are subject to the NII Tax and which are not (including the treatment of grantor trusts) • the mechanics of the determination of the NII Tax for a non-grantor trust or estate • the disproportionate impact of the NII Tax on fiduciaries • inter-relationship between the mechanics of distributable net income (“DNI”) and the computation of the fiduciary NII Tax • when and how capital gains – which are ordinarily excluded from DNI – can be included in DNI to reduce the overall NII Tax paid by a trust and its beneficiaries • and more!