James Kalicki, principal attorney of Kalicki Law Offices, and Mark Smallhouse of New Venture Attorneys to combine their strategic legal expertise and help guide you in securing your assets today before national elections affect our laws.

1. Pre-Election Planning:
Wealth Transfer Now
Presented By:
Jamie Kalicki & Mark Smallhouse
Your Advantage Is Our Expertise

2. Procrastinator’s Guide to Last-Minute
Estate Planning
 Current state of the law.
 Once in a lifetime opportunity to give up to $5 million/$10 million to heirs
without gift tax or generation-skipping transfer tax. Opportunity will expire
12/31/12.
Your Advantage Is Our Expertise

3. What This Means to You
 Estates with assets of greater than $1 million will, after 12/31/12, be taxed
at 55% (current tax rate is 35%).
 Transfer now to avoid the uncertainty generated by what the future brings.
Your Advantage Is Our Expertise

4. Sounds Great – But I Do Not Want to Give
up Control and Enjoyment of my Assets!
 You do not have to. We can designate transfers of assets to the following
structures to ensure your continued control and/or ability to access and use
those assets.
 Family Limited Liability Companies/LLP’s
 A Nevada Asset Protection Trust
 Nevantage STING™ Trust
 Intentionally Defective Grantor Trusts
Your Advantage Is Our Expertise

5. Is This Really Going to Happen?
 There have been previous proposals to reduce the gift/estate tax exclusion
to $3.5 million; however, the extremely partisan race concerns us.
 Increases in inflation scare us more.
 Even more scary is the Obama Administration’s 2013 revenue proposals
dealing with common estate planning strategies.
Your Advantage Is Our Expertise

6. Why Do I Need to Act Now?
 Curing problems.
 Valuation problems.
 The moral - if you think you are going to take advantage of this opportunity,
you need to start now.
Your Advantage Is Our Expertise

7. Understanding the 3.8% Medicare Surtax
 The Affordable Care Act imposes a 3.8% Medicare surtax.
 The 3.8% Medicare surtax is set forth new IRC §1411, which is effective for
tax years after 2012.
 The 3.8% surtax applies to certain passive investment income of individuals
and trusts and estates based upon a mathematical formula.
Your Advantage Is Our Expertise

8. Application of Surtax to Individuals
 Threshold amounts.
 Joint filers - $250,000
 Married taxpayers filing separately - $125,000
 Individual taxpayers - $200,000
Your Advantage Is Our Expertise

9. Types of Income the Tax Applies To
 Dividends
 Rents
 Interest
 Capital Gains
 Royalty
 Passive Activity Income
Your Advantage Is Our Expertise

10. Types of Income Excluded from Surtax
 Self-Employment Income
 Active Trader Business Income
 Gain on Sale of Active Interest in partnerships or S corporations
 IRA or qualified plan distributions
 Trusts for charities, except Charitable Lead Trusts
Your Advantage Is Our Expertise

11. Planning to Avoid or Minimize the Impact
of the Tax
 There are a number of planning techniques that to reduce your exposure to
tax. Those include:
 Reduce your overall net investment income by allocating more of your
investments:
o Tax-deferred annuities
o Life Insurance
o Rental Real Estate
o Oil and Gas Investments
 Sell appreciated assets now.
Your Advantage Is Our Expertise

12. Q&A
Join us next month on
WEDNESDAY, SEPTEMBER 26th
as we discuss:
“END OF THE YEAR PLANNING”
THANK YOU!
Your Advantage Is Our Expertise

13. Nevantage.com
Jamie Kalicki & Mark Smallhouse
Your Advantage Is Our Expertise