InstantForum.NET v4.1.4California Society of CPAshttp://forums.calcpa.org/forums@calcpa.orgWed, 16 May 2012 17:39:45 GMT20http://forums.calcpa.org/Topic176-2-1.aspxHmmm, it looks like the drafter used two pecuniary formula amounts. I haven't seen this done before. I don't understand why it is better.</P><P>I guess property could pass to the marital trust if the SS disclaims some of the first formula amount.</P><P>Watch out for sale\exchange treatment when funding both trusts since both will be in satisfaction of a dollar amount.Wed, 12 Jul 2006 20:07:51 GMTJohn Jacobsonhttp://forums.calcpa.org/Topic176-2-1.aspxThat is the most confusing provision that I've ever seen. It looks like the Survivor's Trust gets 1/2 the CP plus all of what's left that exceeds the exemption amount. In addition, there's marital trust language.</P><P>I worked on a estate where the trust provided for a QTIP election but no marital deduction (the couple also had second-to-die life insurance). The family went to the probate court to reform the trust to provide for a martial deduction. The court agreed even though the surviving spouse was not competent to testify about the intent of the agreement. </P><P>I'd be nervous about this one.Wed, 12 Jul 2006 16:44:30 GMTMary Kay Foss