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<p class="MsoNormal"><span style="color:#1F497D">No tax see WAC 458-61A-202 (2)<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D">This transmission contains confidential attorney-client communications and may not be disclosed to any person but the intended recipient(s). If this matter is
transmitted to you in error, please notify the sender immediately.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman","serif";color:#1F497D"> <o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D">Bryce H. Dille
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D">Campbell, Dille, Barnett & Smith, PLLC<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D">P.O. Box 488<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D">Puyallup, WA 98371<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D">Voice: 253.848.3513<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D">Fax: 253.845.4941<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial","sans-serif";color:#1F497D"><a href="mailto:bryced@cdb-law.com"><span style="color:blue">bryced@cdb-law.com</span></a><o:p></o:p></span></p>
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<p class="MsoNormal"><span style="color:#1F497D">Business Entity Creation and Management</span><span style="color:#1F497D"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">Business, Government and Tax Law<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">Real Estate and Land Use, Residential, Commercial and Condominium Development<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">Real Estate and Commercial Transactions & Closings, Including Performing Services as IRS Section 1031 Exchange Facilitator<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">Estate Planning, including Wills and Trusts, and Probate Administration<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">Representation Homeowners/Condominium Association Real Estate Developments<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D">Real Property Foreclosures and Forfeitures<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif"">From:</span></b><span style="font-size:10.0pt;font-family:"Tahoma","sans-serif""> wsbapt-bounces@lists.wsbarppt.com [mailto:wsbapt-bounces@lists.wsbarppt.com]
<b>On Behalf Of </b>Karin Treadwell<br>
<b>Sent:</b> Thursday, December 10, 2015 3:47 PM<br>
<b>To:</b> wsbapt@lists.wsbarppt.com<br>
<b>Subject:</b> [WSBAPT] Exchange Agreement and Excise Tax<o:p></o:p></span></p>
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<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Listmates:<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">In the case where an estate and surviving spouse agree to distribute 100% of real property to the spouse and equivalent value from a joint investment account to the credit trust, is excise tax triggered on the real estate transfer?
<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">The assumption here is that decedent’s probate assets pass to a credit trust via a mandatory funding formula. However, to preserve the basis step-up on the surviving spouse’s death, the goal is to use the exchange agreement to get the
real estate to the surviving spouse.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Isn’t there consideration here -- taking the transaction out of the standard inheritance exemption?<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Thanks for any input.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Karin <o:p></o:p></p>
<p class="MsoNormal">Karin S. Treadwell<o:p></o:p></p>
<p class="MsoNormal">Sayre Law Offices<o:p></o:p></p>
<p class="MsoNormal">1320 University St<o:p></o:p></p>
<p class="MsoNormal">Seattle WA 98101<o:p></o:p></p>
<p class="MsoNormal">(206) 625-0092<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
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