Skip to content
Warren AI
Sign in
Income Tax Planning
Chapter 16: Business Entity Selection and Taxation/FAMILY LIMITED PARTNERSHIPS (FLP)
Warren Academy Course SyllabusSyllabus Slides
Chapter Study Session

Chapter 16: Business Entity Selection and Taxation

FAMILY LIMITED PARTNERSHIPS (FLP)

01.Core Concepts

Disadvantages Advantages Attorney fees and costs Control retained by senior family member Periodic valuation costs Valuation discounts available Operational requirements Annual exclusion gifts may be used to transfer interests Potential IRS challenges regarding valuation and discounts Some creditor protection Restrictions can be placed on transferability of limited partnership interests Commonly used as part of an estate planning strategy