Arizona applies complicated tax laws to special needs trusts. Depending on the type of special needs trust and how it distributes income, it may be subject to tax at the trust level or when income passes through to beneficiaries. Trustees must file Form 1041 annually to report trust income, and…
Divorce can significantly disrupt your daily life and even affect your estate plan. When a divorce is final, Arizona law automatically revokes some provisions in estate-planning documents that name your former spouse as a primary beneficiary or fiduciary. However, you may still need to address other estate planning issues. At…
Probate refers to the legal process of identifying property, assets and liabilities after a person’s death and transferring those assets to the decedent’s heirs and beneficiaries. Generally, all assets that you own in your name alone and you have not designated a beneficiary for will go through the Arizona probate system….
In estate planning, “undue influence” occurs when a person tries to manipulate someone into creating an estate planning documents that benefits the manipulator. When these coercive tactics alter a trust or will, the vulnerable person’s true wishes may not be carried out. Arizona probate courts take undue influence seriously. To…
A blind trust is a type of trust in which neither the settlor/trustor (the person who creates the trust) nor the trust’s beneficiaries can control the trust’s assets or influence the trustee’s management. Instead, the trustee has complete discretion to manage those assets, including selling them and buying new assets…
The cost of establishing a living trust in Arizona depends on several factors, including the trustis structure, the assets transferred to the trust, and whether any additional legal documents are required. You would like the living trust to be tailored to your specific estate planning needs. Many people have misconceptions…
For anyone in Arizona who recently created and/or modified an estate plan, or if a family member recently passed away with an estate plan in place, it is important to understand how questions about “capacity” can potentially lead to estate litigation in our state. What do we mean when we…
If you are planning your estate in Arizona, you should know that you can include provisions for your beloved pets to ensure they are cared for after you are gone. Arizona law allows you to create a pet trust that specifies a preferred caregiver and sets aside funds for your…
Trusts in Arizona can be revocable or irrevocable. While alive, you can amend or remove assets from a revocable trust. However, you must get a court order to alter or remove assets from an irrevocable trust. The type of trust that will meet your estate planning objectives may depend on…
Many people will execute a power of attorney to give a trusted family member, friend, or advisor the legal authority to make decisions on their behalf, especially if they become incapacitated. Guardianship can also allow someone to act on an incapacitated person’s behalf. However, does guardianship override the power of…
Site by