Top 9 split dollar life insurance

1 How To Handle the Accounting For Collateral Assignment Split

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  • Published Date: 05/21/2022
  • Review: 4.83 (716 vote)
  • Summary: Split-dollar life insurance is an arrangement between two parties to share the costs and benefits of a permanent insurance policy
  • Matching search results: Endorsement split-dollar life insurance is an employer-owned policy that endorses some or all of the death benefits to the employee’s beneficiary. The employer owns and controls the policy and, therefore, makes all policy decisions (i.e., …

2 26 CFR § 1.61-22 – Taxation of split-dollar life insurance arrangements

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  • Published Date: 06/14/2022
  • Review: 4.74 (518 vote)
  • Summary: In the case of any arrangement purporting to create undivided interests where, in substance, the rights, benefits or obligations are shared to any extent among 
  • Matching search results: (i) To the non-owner. A non-owner does not receive any investment in the contract under section 72(e)(6) with respect to a life insurance contract that is part of a split-dollar life insurance arrangement subject to the rules of paragraphs (d) …

3 Private Split Dollar: How Clients Can Capitalize on Exemptions

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  • Published Date: 03/07/2022
  • Review: 4.45 (583 vote)
  • Summary: · Split dollar is an agreement that splits or shares elements of a life insurance policy—cash value, premiums, and death benefit—between two 
  • Matching search results: Economic benefit charges increase each year. If this charge exceeds the annual premium, the excess is considered an imputed gift to the trust. After the final premium is paid, the economic benefit charges in future years will generate an imputed …


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  • Published Date: 11/05/2021
  • Review: 4.39 (560 vote)
  • Summary: A split-dollar “policy” is not an insurance policy but refers to a contract between the parties that sets out their duties to split the costs and their rights 
  • Matching search results: If the IRS pursues taxing policy equity upon termination of existing plans, the tax results could be startling. For example, if a life insurance policy subject to an employment-related split-dollar agreement has $5,000,000 of cash value at the time …

5 Split Dollar Life Insurance Audit Technique Guide (03-2005)

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  • Published Date: 03/22/2022
  • Review: 4.04 (324 vote)
  • Summary: If the employer is the owner of the split-dollar policy, the employer’s premium payments are treated as providing taxable economic benefits to the executive
  • Matching search results: Section 1.61-22(j)(2)(ii) of the regulations provides a non-exclusive list of changes that are NOT considered material modifications. Again, it is important when asking for a copy of the split-dollar arrangement and the life insurance policy to …

6 Split Dollar Life Insurance Arrangements and IRS Notice 2001-10

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  • Published Date: 12/18/2021
  • Review: 3.81 (548 vote)
  • Summary: A split-dollar arrangement is one in which a life insurance policy is owned by two parties, the employer and the employee. Each premium payment is divided 
  • Matching search results: For future equity split-dollar arrangements, the employer and the employee can choose to treat the employer’s premiums as interestfree loans with the inputed interest taxed to the employee annually if the following three conditions are met: 1) the …

7 Understanding The Split-Dollar Life Insurance Benefit

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  • Published Date: 11/18/2021
  • Review: 3.74 (581 vote)
  • Summary: · Split-dollar life insurance is an agreement—rather than a policy—between an individual and employer (or trust) using permanent life insurance
  • Matching search results: There are no templates for these arrangements; they are instead “made-to-order.” Financial advisors are schooled in the particulars of these agreements, and companies typically consult them on how best to develop one. A lawyer and CPA are usually …

8 What is Split-Dollar Life Insurance?

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  • Published Date: 02/04/2022
  • Review: 3.47 (514 vote)
  • Summary: · Split-dollar life insurance is a contract under which the premium payments and death benefit of a permanent insurance policy with a cash value 
  • Matching search results: When the company owns and pays the premiums on the life insurance policy in a split-dollar contract, but the employee executive and his or her beneficiaries obtain some of the benefits, such benefits are assigned to the employee through an …

9 Tax Court determines value of receivable from a split-dollar life insurance arrangement

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  • Published Date: 04/26/2022
  • Review: 3.31 (583 vote)
  • Summary: · The value of a receivable created by split-dollar life insurance arrangements is the receivable’s value, not the cash-surrender value of the 
  • Matching search results: Under Sec. 2038, a decedent’s gross estate includes all interests in property that the decedent has at any time transferred (except in case of a bona fide sale for an adequate and full consideration in money or money’s worth), by trust or otherwise, …
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