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Powers of Appointment
(redirected from General Powers of Appointment)

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Powers of Appointment
A grant of the ability to dispose of property, especially of an estate. The person who receives the powers of appointment may be the executor of an estate or the trustee of a trust. The person with the powers of appointment must dispose of the property according to the wishes of the grantor, unless the grantor gives unlimited powers of appointment, which transfers discretion to the executor or trustee.


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So as not to confuse the agent in this regard, it might be a good idea to specifically state in the durable power of attorney that the power to exercise testamentary special and general powers of appointment is one of those powers that the agent is expressly prohibited from exercising.
2041(a)(1) and 2514(a), the lapse or release of pre-1942 general powers of appointment are not subject to estate or gift tax).
While general powers of appointment may present valuation problems, the regulations are clear on the treatment of special powers of appointment with respect to the TPT credit.
 
 
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