About the Course
Introduction
This CLE/CPE webinar will provide estate planners with a practical guide to utilizing limited liability companies (LLCs) in estate planning under current tax law. The panel will discuss the income tax and asset protection benefits of LLCs and address the use of LLCs to shift income. The panel will provide insight into using LLCs for gifting and other effective tactics for utilizing LLCs in estate planning. The panel will also discuss the pass-through entity election for LLCs and potential tax implications in estate planning.
Description
The use of an LLC in estate planning can shelter assets, reduce overall gift and estate taxes, and avoid probate. Although the increased estate exemption amount lessens the need to take aggressive valuation discounts on assets transferred into an LLC, the structures retain significant asset protection and income tax savings features.
LLCs provide flexibility in allocating rights to profits and capital and can be used to shift income and property appreciation. The general structure of an LLC involves transferring assets to the company while also retaining ownership and control over the transferred assets. Shares in the LLC are then granted to family members or other potential heirs/beneficiaries. By granting income shares to family members who may be in a lower income tax bracket, the managing member can reduce overall income taxes.
However, under current tax law, there are some complex tax implications, particularly under the capital ownership rules of IRC 704(e). Estate planners must grasp a complete understanding of applicable tax rules and regulations when funding LLCs through nontaxable transfers and sales, using distributions to shift income tax burdens and their interplay with other planning tools.
Finally, the application of the pass-through entity election for LLCs must be considered.
Listen as our experienced panel discusses structuring and operating LLCs for estate planning purposes, details how to withstand IRS scrutiny of transfers and operations, explores gifting through LLC distributions, and reviews other effective tactics for utilizing LLCs in estate planning.
Presented By
Mr. Gadarian is a Partner in Gadarian & Cacy, P.L.L.C. in Tucson, Arizona. He received his B.A. from Northwestern University, his J.D. (cum laude) from the Northwestern University School of Law, and his L.L.M. in Taxation from New York University. Mr. Gadarian has been admitted to the State Bar of Arizona and the State Bar of Florida. From 1978 through 1980 he was a Legislation Attorney on the staff of the Joint Committee on Taxation, U.S. Congress. Prior to that, Mr. Gadarian was an Attorney-Advisor to Judge Cynthia H. Hall of the U.S. Tax Court. He is the former Arizona State Chair and former Chair of the Fiduciary Income Tax Committee of the American College of Trust and Estate Council and is a former Adjunct Professor at the University of Arizona College of Law. Mr. Gadarian is currently a Regent on the governing body of the American College of Trust and Estate Council.
Mr. Layton's legal practice focuses on lifetime planning as well as probate and trust administration matters. He assists clients in creating and implementing personalized estate plans, navigating income, gift and estate tax issues, business succession matters, and charitable planning. Mr. Layton is also a certified public accountant (CPA). He earned a B.S. in Accountancy (2007) and a M.S. in Taxation (2008) from Arizona State University, and a Juris Doctor (2012) from the University of Arizona. In addition, Mr. Layton served as a co-adjunct professor at the University of Arizona James E. Rogers College of Law for an Estates & Trusts Course in Fall 2023 and Spring 2025.
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This 90-minute webinar is eligible in most states for 1.5 CLE credits.
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CPE credit is not available on recordings.
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BARBRI is a NASBA CPE sponsor and this 90-minute webinar is accredited for 1.5 CPE credits.
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BARBRI is an IRS-approved continuing education provider offering certified courses for Enrolled Agents (EA) and Tax Return Preparers (RTRP).
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Date + Time
- event
Tuesday, June 9, 2026
- schedule
1:00 PM ET/10:00 AM PT
I. Using LLCs for asset protection and business continuation/succession planning
II. Income tax planning opportunities with LLCs
III. Key provisions for operating agreements
IV. Using LLCs with trusts and other wealth transfer vehicles
V. Pass-through entity election
The panel will review these and other relevant topics:
- What are the income tax and asset protection benefits of LLCs?
- Tax planning through lifetime gift of LLC interests
- Key considerations when drafting the operating agreement
- Utilizing trusts and key trust agreement provisions
- Using partnership allocation rules and profits interests to shift the income tax burden to LLC members with lower marginal income tax rates
Learning Objectives
After completing this course, you will be able to:
- Ascertain methods for using LLCs for asset protection and tax planning
- Recognize income tax minimization opportunities utilizing LLCs in estate planning
- Understand how LLCs with trusts can be used for income tax and estate planning
- Field of Study: Taxes
- Level of Knowledge: Intermediate
- Advance Preparation: None
- Teaching Method: Seminar/Lecture
- Delivery Method: Group-Internet (via computer)
- Attendance Monitoring Method: Attendance is monitored electronically via a participant's PIN and through a series of attendance verification prompts displayed throughout the program
- Prerequisite: Three years+ business or public firm experience preparing complex tax forms and schedules, supervising other preparers or accountants. Specific knowledge and understanding of pass-through taxation, including taxation of partnerships, S corporations and sole proprietorships, qualified business income, net operating losses and loss limitations; familiarity with net operating loss carry-backs, carry-forwards and carried interests.
BARBRI, Inc. is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of Accountancy have final authority on the acceptance of individual courses for CPE Credits. Complaints regarding registered sponsons may be submitted to NASBA through its website: www.nasbaregistry.org.
BARBRI is an IRS-approved continuing education provider offering certified courses for Enrolled Agents (EA) and Tax Return Preparers (RTRP).
BARBRI CE webinars-powered by Barbri-are backed by our 100% unconditional money-back guarantee: If you are not satisfied with any of our products, simply let us know and get a full refund. Contact us at 1-800-926-7926 .
