FLorida Estate and Trust Blog

Florida law can give beneficiaries a relatively short period to challenge the validity of a trust. Learn when Florida's six-month trust contest deadline may apply, what can trigger it, common grounds for challenging a trust, and why beneficiaries should act promptly after receiving trust documents.

A Florida trustee may sometimes delay or decline a distribution, particularly when the trust grants discretion or legitimate administration issues remain. However, trustees must follow the trust, act in good faith, honor their fiduciary duties, and cannot improperly withhold a beneficiary's inheritance.

Florida trustees must keep qualified beneficiaries reasonably informed and generally provide formal accountings at least annually. Learn who is entitled to an accounting, what the accounting must contain, how waivers work, when beneficiaries must object, and what remedies are available when an accounting is missing or deficient.

Florida law does not impose one fixed deadline for distributing trust assets. Learn what “expeditiously” means, why a trustee may retain a reserve, what can delay distributions, and what beneficiaries can do when a trustee is taking too long.

This guide explains how a Florida living trust works, why proper funding is essential, and how a trust may support probate and incapacity planning. It also outlines why trusts, wills, beneficiary designations, and other estate planning documents should work together.

Using a separate LLC for each Florida rental property may help isolate property-specific risks, but the strategy creates additional costs and administrative obligations. Investors should evaluate equity, insurance, ownership, financing, tax treatment, and estate-planning needs before multiplying entities.

When a Florida real estate LLC owner dies, the company may continue to own its properties, but the deceased owner’s membership interest must be administered. A coordinated operating agreement and estate plan can provide clearer authority for management, distributions, succession, and the transfer of ownership.

A Florida LLC may own and operate an investment property while a revocable living trust owns the investor’s LLC membership interest. When properly documented, this coordinated structure may support management continuity, incapacity planning, and the transfer of the ownership interest after death.

Florida land trusts and LLCs can both form part of a real estate investor’s plan, but they serve different purposes. A land trust is primarily a title-holding arrangement, while an LLC is a business entity designed for ownership, management, and operations.

Electing S corporation treatment for a Florida LLC holding appreciated real estate may create an unexpected estate-planning concern. Although heirs may receive a new basis in inherited S corporation shares, the real estate inside the entity generally retains its existing adjusted basis, potentially producing significant taxable gain when the property is sold.

Transferring a Florida residence into a trust does not necessarily cause the homeowner to lose the homestead property-tax exemption. Preserving the exemption generally depends on the type of trust, the homeowner’s continuing right to use and occupy the property, the deed, and the requirements of the county property appraiser.

A Florida trustee may often sell trust property without obtaining advance approval from every beneficiary. However, the trustee must follow the trust document, act in the beneficiaries’ interests, avoid improper conflicts, and provide required information and accountings.

Creating a revocable living trust is only the first step. This article explains why funding matters, what may happen to assets left outside a trust, and how Florida families can review and correct common funding problems.

A revocable living trust may give Florida families greater privacy by keeping properly funded assets and inheritance instructions outside routine probate proceedings. This article explains certifications of trust, trust naming, real estate records, funding, and the important limits of legal anonymity.

Placing a Florida home in a trust does not automatically prevent a property-tax increase after the owner’s death. Whether the property retains its existing assessed value depends on who receives the home, how title is held, whether the recipient qualifies for homestead, and whether a statutory exception applies.

Trust distributions are not automatically taxable. This article explains how trust income, principal, grantor-trust status, Schedule K-1, capital gains, and Florida residency may affect a beneficiary’s tax obligations.

Trust income may be taxed to the grantor, the trust, or a beneficiary, depending on the trust’s federal tax classification and whether income is retained or distributed. Florida does not impose an individual income tax, but federal and out-of-state tax obligations may still apply.

A typical revocable living trust does not file a separate federal income tax return while the grantor is living. Instead, trust income is generally reported on the grantor’s individual return. After the grantor’s death, the trust commonly becomes a separate taxpayer and may need to file Form 1041.

A typical revocable living trust does not need a separate federal tax identification number while the grantor is living and reporting the trust’s income personally. A new EIN will commonly be required after the grantor’s death or when the trust otherwise becomes a separate taxpayer.

Special needs planning for a spouse requires careful coordination with Florida Medicaid rules. For a community spouse planning an inheritance for a spouse receiving Medicaid, a testamentary special needs trust can preserve assets for the disabled spouse without leaving the inheritance outright. This article also explains first-party trusts, spousal protections, Qualified Income Trusts, and other planning options.

Revocable living trusts are not only for wealthy families. Florida homeowners, parents, business owners, and individuals who want to simplify inheritance or incapacity planning may benefit from a properly designed and funded trust.

Living trusts and testamentary trusts can both control how assets are managed for beneficiaries, but they begin at different times and serve different estate planning goals. This article explains the key differences Florida families should understand.

A pour over will is a backup document used with a revocable living trust. It directs probate assets left outside the trust to the trustee after death, names a personal representative, and can nominate guardians for minor children.