Insurance

Total 35 Posts

ILIT – An Estate Planning Vehicle for the U.S. Person

• • 0 Comments

An irrevocable life insurance trust (ILIT) is an estate planning vehicle worth some consideration for U.S. citizens living in Canada.  Many estate advisors are unaware that U.S. citizens subscribing to life insurance on their life will have the death benefits included in the value of their taxable estate for U.S. estate tax purposes.  An ILIT may provide an opportunity to avoid such an outcome. What is an ILIT? An ILIT….

ILIT – An Estate Planning Vehicle for the U.S. Person Continue Reading »

Canadian and US Tax Treaty, Estate Planning, Insurance, Succession Planning, Tax Issues, U.S. Citizen, US Taxes

Corporately-Owned Insurance, Redemption Obligations and the U.S. Supreme Court

• • 0 Comments

Canadian estate and tax advisors may want to consider the case Connelly v. Internal Revenue Service, No. 23-146[1] (U.S. 3/27/24).  The U.S. Supreme Court (“SCOTUS”) issued its decision on June 6th and it serves as a good reminder of the implications of corporately-owned life insurance in the context of cross-border tax and estate planning for Canadian estates. The issue focused on the estate tax treatment of corporately-owned life insurance proceeds….

Corporately-Owned Insurance, Redemption Obligations and the U.S. Supreme Court Continue Reading »

Estate Planning, Insurance, IRS, Tax Issues, U.S. Citizen, United States, US Taxes, valuation

Tainting The Spousal Trust?

• • 0 Comments

Corporately-owned life insurance is viewed as a key strategic option in tax and estate planning, notably for business owners.  There are several strategic reasons to consider corporately-owned insurance as part of the estate plan, such as equalization among the beneficiaries of their estate or to fund the taxes triggered on death. Essentially, corporate life insurance plays a role in the wealth preservation plan. Another goal of wealth planning is to….

Tainting The Spousal Trust? Continue Reading »

Estate Planning, Insurance, Trusts

Further Assessing Drake’s Estate Planning Needs

• • 0 Comments

Nearly two years ago, I wrote a blog post titled “Assessing Drake’s Estate Planning Needs”. The post looked at rap sensation Drake’s assets vis-à-vis his intent for his son Adonis to be the sole beneficiary of his estate, and the various considerations that he ought to have in planning for the effective transition of his wealth to Adonis. Yet, as any advisor in this space knows, the estate planning discussion….

Further Assessing Drake’s Estate Planning Needs Continue Reading »

Business Succession Planning, Canada Revenue Agency, Executors, Insurance, Investments, Real Estate, Succession Planning, Tax Issues

Tax Implications for Exempt Life Insurance Policies

• • 0 Comments

Today’s blog post was written by Pritika Deepak, an Associate at Fasken LLP. This is Part II of a three-part blog series which provides a high-level overview of some of the tax implications to consider, with respect to certain assets held at death. Part I, which addresses RRSPs can be found here: https://allaboutestates.ca/what-happens-when-a-taxpayer-dies-with-a-registered-retirement-savings-plan/ Part II of the blog focuses on life insurance policies owned at the time of death. Specifically,….

Tax Implications for Exempt Life Insurance Policies Continue Reading »

Estate Administration, Insurance, Tax Issues

Better Life Insurance Donations

• • 0 Comments

Recently I received an inquiry from a life insurance advisor about a client who wished to establish a policy and donate it to two charities.  My colleague wanted to know if this was possible.  In my experience it is possible, but not the best way to do it. Donation Structures in Canada there are two basic ways to donate using life insurance. A donor makes the charity owner and beneficiary….

Better Life Insurance Donations Continue Reading »

Insurance, Philanthropy/Charitable Giving, Uncategorized
Scroll to Top