Both techniques involve selling valuable assets during your lifetime to the people you’d ultimately like to inherit them. SCINs involve a sale for a note that is cancelled at the death of its maker, thus removing the value of the note from the taxable estate. Private annuities are similar but involve a sale for an annuity payable each year for the recipient’s life or for a specified term. Both techniques are effective but involve complex estate and income tax planning.
/ / / Self-Cancelling Installments Notes (SCINs) and Private Annuities