ILITIrrevocable Life Insurance Trust
ILITIndependent Levee Investigation Team (New Orleans)
ILITInstitute on Laser and Information Technologies (Moscow, Russia)
ILITInstitute for Language and Information Technologies (University of Maryland, Baltimore County)
References in periodicals archive ?
Estate planners collect fees from (and insurance companies sell policies to) taxpayers to help them avail the benefits of an ILIT, but requiring the taxpayers to jump through the hoops in order to obtain the tax benefits furthers no policy objective.
The ILIT trustee can decide how much, if any, of the SPO rider to exercise.
Solution and case design: Create a generation-skipping "estate restoration" ILIT where the remainder beneficiaries of the trust are the three grandchildren.
All insurance policies, insurance proceeds and any other assets held by the ILIT are Considered to be owned by the trust and not a part of the grantor's, or surviving spouse's.
Therefore, after the sale to the ILIT at the discounted price, the insured would have to gift money into the ILIT to revive the policy.
Aaron says that there are benefits to having an ILIT own the policies rather than Ike owning it himself--benefits he doesn't fully understand.
Since B's ILIT would not be included in her estate if properly set up, B keeps her estate from ballooning in value.
The trust, whether set up as an ILIT or a testamentary trust, can be written so that, upon the death of any of the three parents, the death benefit will be paid out immediately and equally to all of the grandchildren.
Moving assets from a tax-deferred to a tax-free environment may involve giving those assets to charities at the clients' death and replacing that wealth with an ILIT.
One difficulty, however, is determining how to fund ILITs with sufficient assets for the ILIT to pay premiums on the life insurance without incurring gift tax on the transfer to the ILIT, particularly with smaller families who may only have a few "Crummey" beneficiaries (21) to include in an ILIT.
There is a common spin on the typical ILIT that is used with asset protection motives in mind.
An ILIT is an irrevocable trust designed to hold a life insurance policy.