In the Media

Wealthy Seen Snaring a $21 Billion Gift with Trump Tax Overhaul

Wealthy families in the US are hoping for big benefits from the Trump administration. They and their businesses are "re-evaluating, or putting on hold," strategies for transferring money to heirs, as the new administration could begin reform or repeal federal estate and gift taxes, Bloomberg reported.

This discount strategy that wealthy families sometimes use enables them to pass on shares in their privately owned businesses and family offices. Families often took a discount of 20 percent to 45 percent on the value of the stakes to save on taxes, according to a report by law firm White & Case LLP.

Bloomberg reported that family enterprises of all kinds are now optimistic that the new administration will halt the IRS effort. Under the new president, any such rules "could be pulled," said White & Case partner John Olivieri.