EFTA02581150.pdf

From: Richard Joslin S> Sent: Tuesday, February 25, 2014 7:08 PM To: Ada Clapp Cc: Eileen Alexanderson; Jeffrey Epstein; Richard D'Agostino Subject: RE: Decanting the 1997 trust to APO2 Thanks for the quick response - We will get a new tax ID for this trust. Th=re has not been consistent tax reporting in the past (some file 1041and s=me not). I will move to have uniform reporting for the grantor trusts Original Message From: Ada Clapp Sent: Tuesday, February 25, 2014 1:53 PM To: Richard Joslin Cc: Eileen Alexanderson; Jeffrey Epstein; Richard D'Agostino; ahalperin@pau=weiss.com Subject: RE: Decanting the 1997 trust to APO2 Rich-I am indifferent as to whether you report the income of grantor trusts=using Leon's tax ID number or a separate EIN you get for the trusts. I th=nk you just need to be consistent. Ada Clapp Elysium Management LLC 445 Park Avenue Suite 1401 New York, Direct Dial: Fax: 646-589-0330 Email: IRS Circular 230 Disclosure: Pursuant to IRS regulations, I inform you that=any tax advice contained in this communication (including attachments) is =ot intended or written to be used, and cannot be used, by any person or en=ity for the purposes of (i) avoiding tax related penalties imposed by any =overnmental tax authority, or (ii) proposing, marketing or recommending to=another party any transaction or matter discussed herein. I advise you to=consult with an independent tax advisor on your particular tax circumstanc=s. This communication and any attachment is for the intended recipient(s) only=and may contain information that is privileged, confidential and/or propri=tary. If you are not the intended recipient, you are hereby notified that=further dissemination of this communication and its attachments is prohibi=ed. Please delete all copies of this communication and its attachments an= notify me immediately that you have received them in error. Thank you. =20 Original Message From: Richard Joslin Sent: Tuesday, February 25, 2014 1:44 PM To: Ada Clapp Cc: Eileen Alexanderson; Jeffrey Epstein; Richard D'Agostino; Subject: RE: Decanting the 1997 trust to APO2 EFTA_R1_01757218 EFTA02581150 As I understand this decanting, the distributing trust and receiving trust =re both grantor trusts and have the same owner before and after. As such =he receiving trust is a continuation of the distributing trust, ie same ta= ID number for income tax purposes. While two assets may have negative=tax basis in 2014 (Blue Sunshine had negative tax basis a/o 12/31/2012 o= $(300K); AP Energy Partners LLC had a negative tax basis a/o 12/312012 of=$(10K) - we do not have K-1's FY 2013), the decanting should not trigger a=y gain on transfer. On a related vein, I'd like to get Ada/Alan input on not using LOB SSN for =he grantor trusts and getting EIN's and reporting annually Form 1041 with =rust letter. I would like to have annual 1041 filing for the trusts vs =o reporting other than included on 1040 directly. Original Message From: Ada Clapp Sent: Tuesday, February 25, 2014 8:33 AM To: Richard Joslin; Richard D'Agostino Cc: Eileen Alexanderson; Jeffrey Epstein Subject: Decanting the 1997 trust to APO2 We are planning to send the Decanting Notice to the beneficiaries of the 19=7 trust today. Just checking to be sure there are no tax or other issues f=r our accounting team. If so, please let me know as soon as you can. Thank=. Sent from my iPad <?xml version=.0" encoding=TF-8"?> <!DOCTYPE plist PUBLIC "-//Apple//DTD PLIST 1.0//EN" "http://www.apple.com/DTDs/Propertylist-1.0.dtd"> <plist version=.0"> <dict> <key>conversation-id</key> <integer>282920</integer> <key>date-last-viewed</key> <integer>0</integer> <key>date-received</key> <integer>1393355338</integer> <key>flags</key> <integer>8590195717</integer> <key>gmail-label-ids</key> <array> <integer>6</integer> <integer>2</integer> </array> <key>remote-id</key> <string>391905</string> </dict> </plist> 2 EFTA_R1_01757219 EFTA02581151