Tax Accounting Issues for Foreign Trusts (Part I)— footnotes

¹ Rubenstein and Muchin, “Basics of International Estate Planning,” p. 29 (May 2005).

² E. Warren Whitaker “The US May Be a Good Trust Jurisdiction for Foreign Persons,” p. 36, Estate Planning, Warren, Gorham, & Lamont (February 2006), Vol. 33, No. 2.

³ Estate of Dumont, New York L. J. (7/13/04), p. 19.

⁴ Container Corp. v. Franchise Tax Board, 463 US 159 (1983).

⁵ David Pasquantino, U.S. Sup. Ct., (4/26/05).

⁶ A. Leitner, “CA-2’s Narrow View of Pasquantino Does Not Affect Enlarged Scope of Federal Fraud and Money Laundering,” 104  J. of Tax’n 35 (January 2006).

⁷ See also Regs. Sec. 301.7701-7(a)(1).

⁸ Rubenstein, note 1 supra, at p. 30.

⁹ See Regs. Sec. 301.7701-7(c)(4)(ii).

¹⁰ Rubenstein, note 1 supra, at p. 30; see Regs. Sec. 301.7701-7(c)(1).

¹¹ See Regs. Sec. 301.7701-7(d)(1)(iii).

¹² Preamble, TD 8813 (2/1/99).

¹³ See Regs. Sec. 301.7701-7(d)(1)(v), Example 2.

¹⁴ See Regs. Sec. 301.7701-7(d)(2)(i).

¹⁵ See Regs. Sec. 301-7701-7(d)(3).

¹⁶ See Notice 2005-36, IRB 2005-19, 1007; IR-2005-49, IRB 2005-49 (4/22/05); loss of citizenship or termination of long-term resident status for Federal tax purposes will be the later of the date that Form 8854 (as revised March 2005) is filed with the IRS or the date on which the taxpayer provides the requisite notice to the State Department or Depart-ment of Homeland Security.

¹⁷ Rubenstein, note 1 supra, at p. 32.

¹⁸ See REG-51703-96 (6/4/97) and Sec. 7701.

¹⁹ See Regs. Sec. 301.7701-7(f)(1).

²⁰ See Regs. Sec. 301.7701-7(f)(3)(ii).

²¹ See SBJPA Section 1907(a)(3)(B).

²² Rubenstein, note 1 supra, at p. 32.

²³ See Regs. Sec. 301.7701-7(d)(2).

²⁴ See Sec. 684(a).

²⁵ See Secs. 684(c) and 6048(a)(3).

²⁶ See Sec. 643(i).

²⁷ P. L. No. 104-188, Section 1906(d)(3).

²⁸ See Sec. 643(i)(2)(D).

²⁹ See Secs. 861 and 871.

³⁰ See Sec. 679(b) and (c); and Regs. Secs. 1.679-2(a) and -3.

³¹ See Regs. Sec. 1.679-2(a); and Sec. 679(c).

³² See Secs. 665–668.

³³ See Sec. 665(c).

³⁴ See Sec. 667(b).

³⁵ See Sec. 666(a).

³⁶ See Sec. 666(b).

³⁷ See Secs. 662(b) and 667(a) and (d).

³⁸ See Sec. 643(a)(6)(C); Sec. 643(a)(3) does not apply to foreign trusts; as such, included in DNI are gains from the sale/exchange of assets, reduced by any such losses.

³⁹ See Regs. Sec. 1.643(b)-1; and TD 9102 (12/30/03).

⁴⁰ See Sec. 668(a)(1).

⁴¹ See Sec. 668(a)(3).

⁴² H Rep’t No. 105-148, 105th Cong., 1st Sess., p. 650.

⁴³ Id.