Estate Planning and Taxation
Overview
Estate planning is the development of a system to transfer the ownership of property to others in a manner that achieves the goals of the original property owner. These goals often include minimizing estate tax liability, succession of the family business or farm, equitable distribution of property among family members, donation to one or more charities, and ensuring the financial security of a surviving spouse. Agricultural estate planning can be an especially complex endeavor. The proper estate plan is unique to the facts and circumstances involved in each situation based on business goals, familial relationships, and tax considerations. While individual state laws may impact the effectiveness or availability of certain planning devices, business entities, and rules governing succession of property, the Internal Revenue Code primarily governs the major tax issues associated with estate planning.
Read the full overview
Note: Recently added resources are posted at the top of the applicable sections.
Major Statutes
Internal Revenue Code Estate and Gift Taxes, 26 U.S.C. §§ 2001-2704
United States Tax Court Rules of Practice and Procedure
Uniform Probate Code
Regulations
Internal Revenue Service (IRS) Estate Tax Regulations, 26 C.F.R. pt. 20
IRS Gift Tax Regulations, 26 C.F.R. pt. 25
Federal Register Rules Open for Comment
Center published Federal Register Digest
Case Law
Note: Recently summarized cases are listed and linked in Recent Postings.
Case Law Index for Estate Planning and Taxation
Administrative Law Decisions
Internal Revenue Bulletins (IRS)
IRS Written Determinations
IRA Actions on Decisions
IRS Advance Releases
Center Research Publications
Proper Handling of Disaster Payments, Crop Insurance and Livestock Sold (McEowen)
Should Potential Long-Term Health Care Needs Be a Part of Your Farm Estate Plan? (McEowen)
An Overview of Organizational and Ownership Options Available to Agricultural Enterprises:
Part 1; Part 2 (Goforth)
Congressional Research Service Reports
CRS Subject(s):
Estate Planning
Finance and Credit
Reference Resources
USDA
Effects of Federal Tax Policy on Agriculture
Valuation of Partial Interests in Land (Economic Research Service - ERS)
The Tax Payer Relief Act of 1997 (ERS)
Selected Estate Planning Resources (CSREES)
Farm Transition: Exit, Entry, and Planning (CSREES)
Briefing Room: Farm Household Economics and Well-Being: Federal Taxes and Households (ERS)
How Will the Phaseout of Federal Estate Taxes Affect Farmers? (ERS, Durst, 2002)
Topic: Taxes (ERS)
The Taxpayer Relief Act of 1997: Provisions for Farmers and Rural Communities (ERS, Monke, 1998)
How Would Fundamental Tax Reform Affect Farmers? (ERS, Durst, 1999)
IRS
Internal Revenue Service Homepage
IRS Agriculture Materials
IRS Electronic Reading Room
IRS Forms and Publications to Assist Farmers
IRS Farmers' Tax Guide
Agriculture/Farmers Small-Business/Self-Employed Resources
Foreign Agricultural Workers
Tax Information for Appeals
IRS Guidance
Other Federal Resources
Center for Agricultural Law and Taxation at Iowa State University
National Farm Transition Network
United States Tax Court
A Guide for Farmers, Growers, and Crew Leaders (Social Security Administration)
Publications
Farm Succession in Iowa (Baker)
National Timber Tax Website (last updated in 1993)
Basic Estate Planning Fact Sheet Index
Glossary of Estate Planning Terms (FLAG, 2006)
Managing Debt to Prepare for Farm Transfer (FLAG, 2006)
Overview of 1031 Like-Kind Exchanges for Farmers (FLAG, 2006)
Financial/Estate Planning/Legal/Tax Documents (National Ag Risk Education Library, U. MN)
Estate Planning (MO Ag Law Center)
Farmland Preservation: An Estate Planning Tool (Lynch, U. MD, 2001)
Ag Tax Update (U. MN)
Federal Tax Research Guide (Georgetown U. Law Center, 2003)
Additional Resources
Getting Ready for Estate Planning (Purdue)
Who Will Get Grandpa's Farm? (Purdue)
A Retirement Estimator for Farm Families
Estate Planning Considerations for Ohio Families (Ohio State University)
Estate Planning in North Dakota
Estate Planning and Business Succession (Michigan State University)
Financial Risks: Estate Planning (University of Wyoming)
Beginning Farmer Center (Iowa State)
Estate Planning (U. AR - Cooperative Extension Service)
South Dakota State Publications on Estate Planning
Farm Estate Planning (VA Cooperative Extension Services)
University of Missouri Estate Planning Links
Penn State University Agricultural Law and Resource Center
Dying Without a Will in Montana (MT State U.)
Estate and Gift Tax: An Overview (Legal Information Institute, Cornell - LII)
Estate Planning: An Overview (LII)
State Statutes Dealing with Taxation (LII)
Estate Planning (Florida Forestry Information, U. FL)
National Association of Financial and Estate Planning
Law and Taxation (Farmdoc)