There has been an inheritance by the baby boomers for their parent’s wealth. These senior citizens are now transferring the funds to their children through various trusts established under their estates.

In the past years, trust companies and banks were given the responsibility to deal with estate matters. However, these days, anyone can take the job of a trustee or executor to perform the same role. If you lack the confidence to administer the trusts and estates, you will have to seek the help of an attorney who was responsible for preparing the trust or will. However, at times lawyers refuse to do so. This is because the attorneys may come up with potential conflict or ethical judgments swirling around the individual they represent.

If you lack background knowledge about taxes and accounting, you will need an advisor for your estate administration. While most people consider the role of an attorney to administer the estate, you may rely on the individuals who graduated as accountants. An accountant can administer your credit shelter trusts, which is a highly demanding tool in estate administration. 

Now, marital gifts are considered as one of the most popular credit shelter trusts. This element helps individuals to preserve their estate tax exemptions, which their own beneficiaries can later use. The remaining part of the estate will go to the spouse tax-free under the unlimited tax deduction of the marital estate. This helps to reduce the overall amount of the tax to be paid. 

If there are assets placed in your credit shelter trusts, it remains tax-free even after any increment in its value. In the event of the spouse’s death, the asset value won’t be included in the estate. This gives the benefit that the surviving spouse will not be forced to take revenue distributions on an annual basis. Rather the principal amount will stay intact, and the overall value of the trust will increase.

As you know, the rub is included in the calculation of capital gains of assets. So, during the surviving spouse’s lifetime, the value of the asset will keep on increasing and become taxable to the heirs. You can take advice from your CPA for the best outcomes about this matter.

However, portability has made some significant changes in marital estate planning. This has helped to add more options. Now, creating a marital gift of credit shelter trust is better on the first event of death than using the deceased spouse’s exemption. This will benefit the survivor with two estate tax exemptions for sheltering the assets from any form of shelter tax.


Carefully planning your estate administration can help you in many ways. You must have the proper insight and knowledge about this topic. However, you must contact the best CPA for clearing out any possible queries in mind.