<p dir="ltr">I always, in this situation, include only the power to make gives which comply with the intent of the principal's Will and make sure to include the reference John makes to the RCW...</p>
<div class="gmail_quote">On Dec 1, 2015 5:10 PM, "John Creahan" <<a href="mailto:john@cairn-law.com">john@cairn-law.com</a>> wrote:<br type="attribution"><blockquote class="gmail_quote" style="margin:0 0 0 .8ex;border-left:1px #ccc solid;padding-left:1ex">
<div lang="EN-US" link="blue" vlink="purple">
<div>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#595959">Lovie,<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#595959">Your client can give her attorney-in-fact the power to make gifts, although she must specifically authorize it in her durable power
of attorney (see RCW 11.94.050). This power could cause potentially nasty conflicts between the client’s children – and create real nastiness if the son abuses the power at all.<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#595959">I use the following language:<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#595959"><u></u> <u></u></span></p>
<p class="MsoNormal"><span><span style="font-size:12.0pt">Gifts</span></span><span style="font-size:12.0pt;font-family:"Adobe Garamond Pro",serif">. My agent may use my property to make gifts, on my behalf, to my family or charity, outright
or in trust, if he or she reasonably believes I would have made the gift under the circumstances, considering my prior gifting history and my overall planning goals, including tax reduction. My agent may make gifts to himself or herself under the same standard,
as limited by RCW 11.95.100 through 11.95.150.</span><span style="font-size:12.0pt;font-family:"Adobe Garamond Pro",serif;color:#595959">
<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#595959"><u></u> <u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#595959">Hope this helps,<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#595959">John<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#595959"><u></u> <u></u></span></p>
<div>
<p class="MsoNormal"><span style="font-size:14.0pt;font-family:"Tw Cen MT",sans-serif;color:#595959">John Creahan</span><span style="font-size:12.0pt;font-family:"Tw Cen MT",sans-serif;color:#595959"><u></u><u></u></span></p>
<p class="MsoNormal" style="margin-bottom:12.0pt"><span style="font-size:12.0pt;font-family:"Tw Cen MT",sans-serif;color:#595959"><a href="tel:206-621-5848" value="+12066215848" target="_blank">206-621-5848</a><br>
<a href="http://www.cairn-law.com/" target="_blank"><span style="color:#595959">www.cairn-law.com</span></a></span><span style="font-size:12.0pt;font-family:"Tw Cen MT",sans-serif;color:#4f6228"><u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#595959"><u></u> <u></u></span></p>
</div>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif;color:#595959"><u></u> <u></u></span></p>
<div>
<div style="border:none;border-top:solid #e1e1e1 1.0pt;padding:3.0pt 0in 0in 0in">
<p class="MsoNormal"><b><span>From:</span></b><span> <a href="mailto:wsbapt-bounces@lists.wsbarppt.com" target="_blank">wsbapt-bounces@lists.wsbarppt.com</a> [mailto:<a href="mailto:wsbapt-bounces@lists.wsbarppt.com" target="_blank">wsbapt-bounces@lists.wsbarppt.com</a>]
<b>On Behalf Of </b>Lovie Bernardi<br>
<b>Sent:</b> Tuesday, December 1, 2015 4:45 PM<br>
<b>To:</b> WSBA Probate & Trust Listserv <<a href="mailto:wsbapt@lists.wsbarppt.com" target="_blank">wsbapt@lists.wsbarppt.com</a>><br>
<b>Subject:</b> [WSBAPT] Durapble Power of Attorney and authority to gift<u></u><u></u></span></p>
</div>
</div>
<p class="MsoNormal"><u></u> <u></u></p>
<p class="MsoNormal">Estate planning client is single woman in her mid-sixties with two adult children in their mid-thirties. Will leaves the estate equally between the kids; there are no grandchildren. Her estate currently is over the Washington estate tax
threshold by about $700,000. Her wealth is mainly tied up in her home, worth about $2 million. She has health issues that will likely lead to needing long term care and plans to use her assets to fund this. Because of this, she does not wish to do any gifting
to the children now to reduce her estate below the threshold, but may wish to do so in the future. Has anyone included the power to gift assets in a DPA for the purpose of reducing a taxable estate? I’m imagining a scenario where she is at the end of her life,
incapacitated, but has not spent down her assets. It is feasible (or advisable) to grant the attorney-in-fact (the son) the power to make equal gifts to himself and his sister, enough to reduce the estate below the Washington estate tax threshold? Thoughts
or other ideas to avoid the taxman down the road?<u></u><u></u></p>
<p class="MsoNormal"><u></u> <u></u></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">Lovie Bernardi</span><span style="font-family:"Arial",sans-serif"><u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">Attorney at Law</span><span style="font-family:"Arial",sans-serif"><u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">Seligmann & Flaherty, PLLC</span><span style="font-family:"Arial",sans-serif"><u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">216 First AVE S, #450</span><span style="font-family:"Arial",sans-serif"><u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">Seattle, WA 98104</span><span style="font-family:"Arial",sans-serif"><u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif"><a href="tel:%28206%29%20682-2616" value="+12066822616" target="_blank">(206) 682-2616</a><u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Arial",sans-serif"><u></u> <u></u></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif"><a href="mailto:joni@sbfirm.com" target="_blank">lovie@sbfirm.com</a></span><span style="font-family:"Arial",sans-serif"><u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif"><a href="http://sbfirm.com/" target="_blank">http://sbfirm.com</a></span><span style="font-family:"Arial",sans-serif"><u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-family:"Arial",sans-serif"> <u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">**********<u></u><u></u></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">This e-mail may contain information that is privileged, confidential or otherwise protected from disclosure. If you are not the intended recipient or otherwise have received
this message in error, you are not authorized to read, print, retain, copy or disseminate this message or any part of it. If you are not the intended recipient or otherwise have received this message in error, please notify us immediately by e-mail, discard
any paper copies and delete all electronic files of the message. <i>Circular 230 Notice: This communication may not be used by you or any other person or entity for the purpose of avoiding any federal tax penalties.</i></span><span style="font-size:12.0pt"><u></u><u></u></span></p>
<p class="MsoNormal"><u></u> <u></u></p>
</div>
</div>
<br>_______________________________________________<br>
WSBAPT mailing list<br>
<a href="mailto:WSBAPT@lists.wsbarppt.com">WSBAPT@lists.wsbarppt.com</a><br>
<a href="http://mailman.fsr.com/mailman/listinfo/wsbapt" rel="noreferrer" target="_blank">http://mailman.fsr.com/mailman/listinfo/wsbapt</a><br></blockquote></div>