Client Pieces

Client Piece – Transfer for Value

Topics: IRS, Regulation, Treasury Department

The Details – Courtesy of Ken Kies, Federal Policy Group The Code generally excludes death benefits from being treated as taxable income.1 However, there is a general exception to this exclusion for death benefits paid on contracts that were transferred for “valuable consideration.”2 This “transfer for value” rule (“TFV Rule”) generally applies to any “transfer”…