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<p class="MsoNormal"><span style="font-size:12.0pt">Chandra:<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">I hope that the surviving spouse is not acting as the Personal Representative of her husband’s estate?
<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">I would have the PR do an Inventory that shows all of the probate and non-probate assets and the disposition of those assets showing that the value going to the surviving spouse is equal to or more than the
value of the house.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">Then the Trustee of the SNT can sign a TEDRA agreeing to the distribution of the house as a non-prorata distribution of the deceased spouse’s one-half of all the community property to the SNT.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">Don’t have the surviving spouse sign a quit claim to the SNT. That will be very hard to explain to DSHS if the surviving spouse spends down her one-half of the assets and is making a Medicaid application.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">My 2 cents.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt">Jane. <o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span style="color:black">Jane G. Bitz <o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:black">Of Counsel <o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:black">Wolff, Hislop & Crockett, PLLC <o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:black">12209 E. Mission Ave, Suite 5 <o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:black">Spokane Valley, WA 99206-4824 <o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:black">(509) 927-9700 x126 <o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:black">FAX: (509) 777-1800 <o:p></o:p></span></p>
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<p class="MsoNormal"><b>From:</b> wsbapt-bounces@lists.wsbarppt.com <wsbapt-bounces@lists.wsbarppt.com>
<b>On Behalf Of </b>Derek Jensen<br>
<b>Sent:</b> Tuesday, May 23, 2023 6:02 PM<br>
<b>To:</b> WSBA Probate & Trust Listserv <wsbapt@lists.wsbarppt.com><br>
<b>Subject:</b> Re: [WSBAPT] how to do non pro rata distribution of CP to get 100% of CP House into testamentary trust<o:p></o:p></p>
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<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal"><span style="color:black">Following. <o:p></o:p></span></p>
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<p class="MsoNormal"><span style="color:black"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span style="color:black">I don't have a definitive answer to this, but it has come up occasionally for other reasons. One innovative solution I saw was a CPA that left everything to the deceased spouse. I assume that was to fund a testamentary
SNT. This may be standard for elder law attorneys. <o:p></o:p></span></p>
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<p class="MsoNormal" style="background:white"><span style="font-family:"Helvetica",sans-serif;color:#984806">Sincerely,</span><span style="color:black">
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</span><o:p></o:p></p>
<p class="MsoNormal" style="background:white"><span style="font-size:14.0pt;font-family:"Helvetica",sans-serif;color:#984806">Derek W. Jensen,
</span><span style="font-family:"Helvetica",sans-serif;color:#984806">JD, LLM</span><span style="color:black">
</span><o:p></o:p></p>
<p class="MsoNormal" style="background:white"><span style="font-size:10.0pt;font-family:"Helvetica",sans-serif;color:maroon">Jensen Law Office, PLLC</span><span style="color:black">
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<p class="MsoNormal"><b><span style="color:black">From:</span></b><span style="color:black"> wsbapt-bounces@lists.wsbarppt.com <wsbapt-bounces@lists.wsbarppt.com> on behalf of Chandra Lewnau <chandra@lewnaulaw.com><br>
<b>Sent:</b> Tuesday, May 23, 2023 11:56 AM<br>
<b>To:</b> WSBA Probate & Trust Discussion List <wsbapt@lists.wsbarppt.com><br>
<b>Subject:</b> [WSBAPT] how to do non pro rata distribution of CP to get 100% of CP House into testamentary trust</span>
<o:p></o:p></p>
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<p class="xmsonormal"><span style="color:#212121">I'm trying to determine the best way to fund 100% of a Decedent's CP house into a SNT for the surviving spouse, effectively getting a non-pro rata division of the community property and protecting as much of
the assets in the SNT as possible. Decedent’s Will leaves everything to a SNT for the surviving spouse. But, there is very little probate property other than the house. Almost all her other assets are either in retirement accounts with beneficiary designations
or in a JTWROS account. To fund the SNT with 50% of the community property, I need to get 100% of the house into the SNT. I know the whole of the community property is subject to probate administration for things like paying debts and the family award, but
I don’t believe this extends to the power to convey the survivor’s interest in the house. How do I get the surviving spouse’s interest in the house into the SNT? I don’t want issues with a title company on a later sale and I don’t want DSHS to look at the SNT
as a partly self-settled trust.<span class="xgmail-apple-converted-space"> </span><o:p></o:p></span></p>
<p class="xmsonormal"><span style="color:#212121"> <o:p></o:p></span></p>
<p class="xmsonormal"><span style="color:#212121">The best idea I have so far is to have the surviving spouse quitclaim his interest to the estate. If that works, what tax exemption do I use? WAC 458-61A-215(b)? "An heir to an estate gives the estate a quitclaim
deed for the purpose of removing any presumptive interest they have in the estate." I looked at the exemptions for creating CP/establishing SP and for non-pro rata distributions and they didn't seem quite right.<o:p></o:p></span></p>
<p class="xmsonormal"><span style="color:#212121"><o:p> </o:p></span></p>
<p class="xmsonormal"><span style="color:#212121">Should I back up whatever I do with a TEDRA agreement?<o:p></o:p></span></p>
<p class="xmsonormal"><span style="color:#212121"> <o:p></o:p></span></p>
<p class="xmsonormal"><span style="color:#212121">Any advice is appreciated.<o:p></o:p></span></p>
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