The Fifth Circuit Court of Appeals has overturned a Tax Court decision in a ruling that has major implications for estate planning and works of art. While the central basis for the decision in favor of the Estate of James Elkins was the inexplicable failure by the IRS to rebut the taxpayer’s evidence, the decision nonetheless offers guidance for an important estate planning tool: fractional interests. Eileen Kinsella has also analyzed the case at Art Net (I’m quoted) here.
Topics: estate tax, Estate of James Elkins, fractional interest, Eileen Kinsella, GRIT, Tax Court, 5th Circuit Court of Appeals, Court of Federal Claims, Estate Planning, ArtNet, Grantor Retained Income Trust, Tax, Elkins
Montgomery County Orphan’s Court Judge Stanley R. Ott, the presiding judge in the unsuccessful challenge to the Barnes Foundation’s move to Center City in Philadelphia has upheld his award of sanctions against the plaintiffs challenging the move. After a recent hearing, the judge awarded the Barnes $25,000 in attorneys' fees from the Friends of the Barnes, and a separate $15,000 form a lawyer who had filed a challenge in his own right.
I am delighted to announce a joint presentation by Sullivan & Worcester LLP’s Art and Museum Law Group (home of your Art Law Report) and Citi Private Bank. On April 11, 2012 here in Boston we will host a discussion of Art Advisory and Estate Planning. Panelists will include Cornelius J. Murray, III, Trust & Estates Practice Chair, Sullivan & Worcester LLP; Suzanne Gyorgy, Head of Art Advisory & Finance, Citi Private Bank; and Brian Bandler, Director, Wealth Planner, Citi Private Bank. The panelists will address the complex art needs of private clients, including the rules that organizations and donors must understand in order to maximize tax benefits and avoid unintended pitfalls. I will be there to moderate what I expect will be a fascinating discussion.