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Don't you wish. It is not a capital gain but rather interest income treated as ordinary income. Gill

I agree with this advice. You don't want or need a charitable remainder trust. Gill

You've had advice all over the place. Can you tell us exactly how the grantee read on the dead that conveyed the property from your mother? Gill

If you mean the fixed rate, it will almost certainly be zero. The Treasury has no incentive to raise it with the bonds flying off the shelf. Gill

Yes, a trust will enable you to purchase an additional $10k of bonds. Gill

As others have posted, once you elect to pay taxes on the interest currently you must continue to do so. Why would anyone elect to pay taxes 30 years in advance? Gill

If it's the January 15th payment you need to make, why not just mail a check along with Form 1040-ES. Gill

I am an "estate planner" (a trusts and estates attorney) and was just wondering your thoughts on this. Gill

Please explain how "it's more complicated than this". I thought I pointed out the pitfalls of such an arrangement. Gill

Assuming that is the provision in the IRA. Such a disposition can be very undesirable from a tax standpoint because the entire distribution will be taxed to the estate. Gill

Be careful. When you make bequests in your will it has no effect on your IRA. Your IRA is disposed of by beneficiary designations. If you make bequests in your will and there are no funds to pay them the bequests will lapse. Gill

Why not just leave it in her name and put the dispositive provisions to the children in her will? Avoiding probate is often unnecessary because in most states it is neither difficult, expensive or burdensome. Gill

One major advantage of a RLT is that it can serve to protect you and manage your assets for you in the event of your disability and inability to manage your own affairs. A beneficiary designation does not accomplish that. Gill

I wouldn't spend one cent of your own money and would do nothing. The last think you would want to do is accept an appointment as personal representative of the estate. The important thing is to continue to do your best to shield your parents from any involvement. All the creditors and the IRS...

Mea Culpa. Forgive me, for I have sinned. I honestly didn't realize I had posted the same comment on the same thread. I post rather actively on other forums and apparently became confused. I'll try to behave myself and obey the forum rules. Gill

There was a cap on purchases - $30,000. Gill

Got you beat. Mine from May 2002 is 9.19%. Gill

The post is incorrect. You don’t get an additional $10,000 for a joint account. Also, the $5,000 from a tax refund is per return. Gill

Why do you want dividends? Do you enjoy paying taxes? Gill

Your points are all well taken. Technically everything you describe is a gift and in any given year should be totaled and reported if exceeding $15,000 per donee. In my opinion, the gift tax currently doesn't make an awful lot of sense except as a way to catch lifetime transfers by people...

My impression is that the individuals in question have little or no experience with equities. Therefore I totally disagree with any advice to make a high equity commitment. I like the suggestion of putting all but maybe $200K in the Vanguard Retirement Income Fund which is 30% equities. That...

Well obviously it worked out for you. Many things slip by the IRS when there is no audit. If it was a year or more you were probably on solid ground. That certainly wouldn’t fly in the more typical sale a few months after death. Gill

The acquisition date is date of death so it will be highlighted by the fact the property was only held a few months for a substantial loss, particularly in a period of generally rising real estate prices. Gill

The IRS takes the position that a sale within a reasonable time after date of death is more reflective of fair market value than any appraisal done as of the date of death. The sale price should have been used for the basis and the expenses of sale would result in a loss. A "broker's opinion"...

Yes, if you sold it within a reasonable time you pushed the limits. The sale price should have been the basis being a better reflection of fair market value at date of death. Gill