One of the most talked about cases among panelists at the “Recent Developments-2005” session at this year's Heckerling Institute on Estate Planning, held Jan. 9 through 13 in Miami, was Rudkin — a case in which the Internal Revenue Service is trying to close a potential tax loophole for the wealthy. The issue in William L. Rudkin Testamentary Trust v. Comm'r, 124 T.C. 19 (June 27, 2005) is: to what extent are trustee fees deductible by a trust for income tax purposes?
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