Tax Consequences of Assigning Life Insurance - Time for Another Look

Authors

Douglas A. Kahn, University of Michigan Law SchoolFollow
Lawrence W. Waggoner, University of Michigan Law SchoolFollow

Document Type

Article

Publication Date

1999

Abstract

The Taxpayer Relief Act of 1997 furnishes the courts and the Internal Revenue Service an opportunity to close certain loopholes in the federal tax consequences of assigning life insurance. About twenty years ago, we published an article arguing that the tax consequences of assigning life insurance affords taxpayers unwarranted opportunities for tax avoidance. Since then, developments in the case law and Internal Revenue Service rulings have broadened the loopholes. In the update of our article, we show how the new tax law supports our original position.

Recommended Citation

Waggoner, Lawrence W. "Tax Consequences of Assigning Life Insurance - Time for Another Look." D. A. Kahn, co-author. Fla. Tax Rev. 4, no. 5 (1999): 381-416.