Trusts' Material Participation: Useful Guidance From ABA

Law360, New York (May 20, 2015, 6:13 PM EDT) -- Since inception of the Treasury regulations issued under Internal Revenue Code Section 469, Section 1.469-8 regarding the material participation of trusts has been reserved, offering no official guidance on if, when or how a trust would materially participate in a trade or business sufficient to categorize the trust's income as active. With only two cases[1] of note on this issue, several inconsistent technical advice memoranda, and increased focus on the material participation test as a result of the adoption of the net investment income (NII) tax under Internal Revenue Code Section 1411, the American Bar Association Tax Section issued a report...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.

  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!


Related Sections

Law Firms


Government Agencies

Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!