Bill Davidson, the late owner of the Detroit Pistons, Tampa Bay Lightning, and Guardian Industries — one of the country’s largest private companies — had a reputation for being aggressive. The Pistons aggressively built two championship teams under his watch and was inducted into the NBA’s Hall of Fame in 2008. His businesses thrived through his management. But the IRS now says Bill Davidson was too aggressive in his tax-reducing estate planning techniques.
The IRS recently filed a petition in US Tax Court in Washington, D.C., claiming that Bill Davidson Estate owes up to two billion dollars in taxes. Yes, that’s two Billion — with a capital “B”. How could any individual rack up such a large tax bill?
Davidson, like many wealthy people who worry about estate taxes, gave away assets through gifts, trusts, and other transfers to his wife and other family members. The IRS says that he undervalued the worth of these assets. They feel his reported net worth of around $3 billion was really much Read more...
Danielle and Andy Mayoras will be appearing twice a month on FOX 2 News in Detroit, Michigan to discuss the latest celebrity will, trust and estate cases and what people can learn to protect their own family fortunes.
The premiere segment of Trial & Heirs: Famous Fortune Fights! included discussions of the Estates of Michael Jackson and Tony Curtis, as well as the shocking turn of events involving 94-year old Zsa Zsa Gabor:
Trial and Heirs: Famous Fortune Fights: MyFoxDETROIT.com
By Danielle and Andy Mayoras, co-authors of Trial & Heirs: Famous Fortune Fights!, husband-and-wife legacy expert attorneys, and hosts of the national television special, Trial & Heirs: Protect Your Family Fortune! For the latest celebrity and high-profile cases, with tips to protect yourself, your loved ones, and your clients, click here to subscribe to The Trial & Heirs Update. You can “like” them on Facebook and follow them on Twitter.
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The interesting case of a wealthy Michigan lumber baron who died in 1919 highlights how creative someone can be when using a trust in estate planning.
Wellington R. Burt did not want his children, or even his grandchildren, to inherit his wealth, which is now worth around $100 million. So he created an unusual trust, which is described in this article from ABCNews.com:
The descendants of Wellington R. Burt, who became fabulously wealthy in the age of the robber barons, will finally inherit his fortune — 92 years after his death.
Burt, who died in 1919 at age 87 in Saginaw, Mich., made his wealth in the lumber and iron industries. For reasons not described in his will, he stipulated that the majority of his fortune would be distributed 21 years after his last surviving grandchild’s death.
That granddaughter died in 1989. Now 12 descendants will split the fortune, estimated at $100 million to $110 million.
“I don’t think we’ll ever know exactly what it was that ticked him off