Trust Decanting: A Sale Without Gain Realization

May 8, 2015ABA Real Property, Probate and Trust Journal

Jason Kleinman published an article in the ABA's Real Property, Probate and Trust Journal on trust decanting. Jason’s article describes why decanting or modifying a trust should not be a taxable event. While a common transaction in a trusts and estate practice, there remains a persistent lack of clarity on the transaction’s income tax consequences which this article attempts to resolve.