What are Crummey powers?
What will be an ideal response?
Crummey powers derive their name from the lawsuit Crummey v. Commissioner. When a trustor of a life insurance trust gives insurance premium money to the trustee, the trustee writes a letter to each trust beneficiary informing the beneficiary that he or she has an immediate right to withdraw the money. If the beneficiaries do not make the election, the trustee pays the insurance premiums. This insures that the premiums are considered a present gift making the premiums eligible for the annual gift tax exclusion. The life insurance proceeds will pass free of estate tax to the beneficiaries at the time of the death of the trustor and his surviving spouse.
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The parent with legal custody determines where the child lives.
Answer the following statement true (T) or false (F)
List and explain the two requirements that must be satisfied before a punishment is “cruel and unusual.”
What will be an ideal response?
Changes in residency requirements for divorce:
a. Have caused migratory divorces. b. Recognize that states have an increased vested interest in marriage. c. Have decreased the number of migratory divorces. d. Have resulted in more collusion in proving grounds for divorce.
A covenant not to compete only restricts the time period of compensation.
Answer the following statement true (T) or false (F)