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<p class="MsoNormal">Out of state couple own a commercial property in Washington via a Washington LLC. They also own two Washington residential properties as rentals, and for liability purposes would like to transfer these to Washington LLCs.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Assuming they have established domicile out of state, wouldn’t the value of the business interests (whether held by the couple personally or their RLT) be considered an intangible asset and thus out of state property for Washington estate
tax purposes? <o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">The DOR website emphasizes that whether an ownership interest is determined to be an intangible or tangible asset is based on whether it is operating for a “true business purpose.”
<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Any feedback on how DOR is defining a true business purpose? Operating a commercial building? What about putting rental homes into an LLC for liability protection?<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">Karin<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">Karin S. Treadwell</span><span style="font-size:12.0pt"><o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">Sayre Law Offices, PLLC</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">1417 31<sup>st</sup> Ave S</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">Seattle WA 98144-3909</span><o:p></o:p></p>
<p class="MsoNormal"> <o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">phone 206-625-0092</span><o:p></o:p></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif">fax 206-625-9040<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Arial",sans-serif"><o:p> </o:p></span></p>
<p class="MsoNormal"><b><span style="font-size:16.0pt;font-family:"Times New Roman",serif;color:red">Please Note that We Have Moved<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="font-size:16.0pt;font-family:"Times New Roman",serif"><o:p> </o:p></span></b></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif">We have moved our Seattle office to Mount Baker Ridge (a small commercial community just above the I-90 tunnel).<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif"><o:p> </o:p></span></p>
<p class="MsoNormal"><b><span style="font-size:12.0pt;font-family:"Times New Roman",serif">Our new address is 1417 31st Avenue South, Seattle WA 98144<o:p></o:p></span></b></p>
<p class="MsoNormal"><b><span style="font-size:12.0pt;font-family:"Times New Roman",serif"><o:p> </o:p></span></b></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif">All other contact information will remain the same<o:p></o:p></span></p>
<p class="MsoNormal"><o:p> </o:p></p>
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