What is iLit reading program?

iLit is a comprehensive reading intervention program for students in Grades 6 and up. Teachers and students can access this fully digital program on multiple platforms and devices, and it utilizes a proven instructional model.

What is Ilitell?

iLit ELL is a fully digital program that is accessible on multiple platforms. For example, users can access the program on their tablets or through a web browser on their personal computers. iLit ELL uses cloud-based sharing to enable back-and-forth functionality between teachers and students.

Is Ilit a good idea?

An ILIT is a good idea if you have a significant amount of wealth and assets you need to protect after you pass. To avoid hefty estate tax and creditors, as well as set up your family after you pass, an ILIT might work for you.

How do I start an Ilit?

An ILIT is usually established by formation of the trust, followed by the contributor (usually the insured) assigning an existing insurance policy to the trust or the trustee of the trust buying a policy directly from an insurance company. The insured retains no benefits in the trust.

What does Ilit cost?

The set up fee for an ILIT is $200 and the annual base fee is $1,200 during lifetime of insured. There is no charge for the Annual Gift Letter (Crummey Notice). Additional fees include: $300 annual fee for each additional policy.

Who should be the beneficiary of an Ilit?

The beneficiary of a trust can be an individual, an entity (such as a charity or political organization), or even the family pet. A trust must have at least one beneficiary but may have an unlimited number of beneficiaries.

Can I be the trustee of my own Ilit?

The trustee of an ILIT can generally be anyone other than the insured, although naming an “independent trustee” may offer greater flexibility for estate planning.

Can Ilit pay estate taxes?

If properly drafted, the ILIT can, however, provide liquidity to help pay estate taxes, as well as other debts and expenses, by purchasing assets from the grantor’s estate or through a loan. Also, lifetime gifts can help reduce your taxable estate by transferring assets into the ILIT.

Does an Ilit have to file a tax return?

Most ILITs do not have taxable income and therefore do not require an income tax return. In terms of gift tax reporting, if you transferred an existing life insurance policy to the ILIT, a gift tax return may be required to inform the IRS of the transfer (gift) of the life insurance policy to the ILIT.

Are Ilit proceeds taxable?

The buildup of cash value within a policy owned by the trustee of an ILIT is wholly free from income tax. Even more important, the life insurance proceeds ultimately received by the trustee of the ILIT are not subject to the federal income tax.

Can an Ilit hold other property?

Yes. An ILIT can own property other than life insurance. Since the Grantor has very little control over the trust after it is established, funding an ILIT with assets other than life insurance is not right for everyone.