The Connelly Decision and the Impact on Planning for Business Owners
Published: June 17, 2024
In this article, we provide a high-level overview of the United States Supreme Court's affirmation of the lower Court’s decision to uphold the Internal Revenue Service (IRS) position on the treatment of life insurance proceeds and entity redemption obligation for federal estate tax purposes.
Presented by: Kim Boston, CLU®
Description:
This article provides a high-level overview of the United States Supreme Court’s affirmation of the lower Court’s decision to uphold the Internal Revenue Service (IRS) position on the treatment of life insurance proceeds and entity redemption obligation for federal estate tax purposes. The case in question was Connelly, As Executor of the Estate of Connelly v. United States[1]. The affirmation of this position highlights the importance of diligent estate planning, proper ownership of life insurance policies and an understanding of the tax implications of all agreements businesses have in place.
Overview:
- Case Background
- Impact on Planning for Business Owners
- Conclusion
