Corporate & Business Law Real Estate & Development Trusts & Estates Litigation Mediation & A.D.R.	TRUSTS & ESTATES Estate & Tax Planning Modern estate and tax planning requires a thorough analysis of the client’s family circumstances, the nature and amount of the client’s assets and any expected inheritances, and the client’s wishes and concerns with respect to wealth transfer, both during life and after death. Potential estate-related tax liability must be calculated and appropriate planning options discussed with the client. The estate plan is then carefully developed in order to assure wealth transfer according to the client’s wishes and minimize income, gift, and estate taxes. Our firm offers a cutting-edge collaborative approach to the traditional Trust & Estate practice. Whether an estate is large and complex or more modest, we genuinely listen to our clients and work closely with them to develop long-term personal and family goals. The breadth of our experience and our creative approach enable us to provide our clients with practical and sensible solutions to the tax and non-tax issues confronting them. Our attorneys understand that success in this area requires legal, tax, and business experience combined with the skills required to act as a trusted family advisor and counselor. This is the cutting-edge and collaborative perspective we offer to our clients. Included in the estate planning process are: Design of the plan to carry out dispositive wishes while minimizing or eliminating gift and estate taxes, including generation-skipping (GST) transfer taxes. Preparation of wills, codicils, revocable and irrevocable trust arrangements, durable powers of attorney, health care directives, pre-marital and domestic partnership agreements, animal trusts, and other documents in order to express and carry out the client’s intentions. Recommendations for and preparation of tax-saving devices such as intra-family gift programs, Family Limited Partnerships, “IRA Stretch Trusts”, Qualified Personal Residence Trusts (QPRTs), Grantor Retained Annuity Trusts (GRATs), Dynasty Trusts, Charitable Lead Trusts and Charitable Remainder Trusts, among others. Drafting and reviewing partnership agreements and corporate operating agreements for family businesses. Establishing charitable foundations and non-profit organizations. Preparing Private Letter Ruling requests. Representing clients in tax litigation and audits. Preparing gift tax returns and trust returns. Business Succession Planning Owners of successful businesses are faced with numerous challenges and opportunities when planning for the orderly transfer of their business interests during life or at death. Whether a sole proprietorship, closely-held corporation, general or limited partnership, or any other form of enterprise is involved, the owner of a significant business interest needs expert advice in dealing with the many issues that arise in planning for the future. We provide advice and counsel to business owners in all aspects of business succession planning. Our services include the following: State and federal income tax minimization Shareholder agreements and funding mechanisms for these agreements Structuring sales and gifts of business interests Recapitalizations Deferred compensation arrangements Gift planning for business interests, including valuation discounts Voting trusts Key man/woman insurance Stock redemption to pay estate taxes Deferral of estate taxes on closely held businesses In addition to counseling on strategies for the transfer of business assets, our attorneys provide advice on the issues confronting family business owners seeking to transfer management and power to successors. The firm engages in collaborative approaches to guide clients in selecting successors, resolving inter-generational conflicts, identifying differing agendas among key players, and developing strategies for transition timing. Asset Protection Planning Asset protection planning is a method of arranging access, control, management and ownership of assets to preserve value for an individual, family or business because of the risk of potential claims by creditors. The strategies a person utilizes in arranging a wealth protection plan will depend on residence, desired mobility, investment objectives, tax and estate planning, necessity of access to wealth and present circumstance. We provide advice and counsel to individuals and businesses regarding planning techniques which have the effect of placing assets beyond the reach of unknown future creditors to the extent legally and ethically possible. Legitimate asset protection planning does not involve hiding assets, using secret agreements, or making fraudulent transfers. Rather, asset protection planning combines sophisticated and legitimate business planning and estate planning techniques which result in wealth preservation. Planning for the Elderly Individual Estate and financial planning for our elder clients presents unique challenges as well as opportunities. We are experienced in handling all aspects of planning for the elder client, including the following: Traditional estate planning vehicles, including Wills and Trusts Durable powers of attorney Health care directives – “Living Wills” Guardianships and Conservatorships Gift planning Retirement planning Coordination of home and institutional care services Long term health care financing Our attorneys are also experienced in assisting with financial and life management issues faced by many elder clients, dealing frequently with family members, medical providers, care management teams, and other third parties on the client’s behalf. Planning for Philanthropy Clients are often interested in making gifts to charities. We assist individuals and families in achieving their charitable planning goals, including the formation and administration of charitable trusts and private foundations. Additionally, we effectively coordinate our clients’ Wills, IRAs, and retirement accounts to take advantage of maximum income, estate, and gift tax exemptions when making charitable contributions. Estate & Trust Administration We provide advice and counsel in Probate matters and in Estate and Trust Administration. Services available to clients include: Drafting “Crummey Notices” for Life Insurance Trusts Preparation and filing of papers in Probate Court Identification and preparation of probate inventories Payment of debts, expenses and taxes Processing income receipts and distributions to beneficiaries Preparation and filing of federal and state estate tax returns Securing of releases of tax liens and handling estate tax audits Safekeeping of property Assembly of fiduciary income tax data and assistance in post mortem tax planning Special services in administering real estate or other kinds of assets Maintaining good relations with beneficiaries and providing them with counsel on a variety of financial and personal matters Ancillary administration outside the State of New Jersey Collection of life insurance and employee benefits Creating accountings and reports to clients and beneficiaries Resolving and instituting Will contests Establishing trusts and private foundations Additionally, we frequently work with independent third-parties to assist in Estate and Trust Administration matters including: Transfer of life insurance policies into Life Insurance Trusts Investment of assets, including the transfer of securities Making funeral arrangements Appraisals of estate and trust assets (including stock in closely-held companies, stamps, coins, jewelry, and artwork) Bookkeeping and accounting
John R. Thompson, Esq. Counselors at Law, LLC P.O. Box 366 62 North Main Street Lambertville, NJ 08530 T: 609 460.4011 F: 609 460.4012