Jacqueline Kent Cooke: Heiress Arrested

[skinsfan69]

Originally Posted by onlydarksets

$25mil + 10% of the Skins ($~80mil).

Is he entitled to more?

it just seems like a small % to leave your oldest living son that was running your football team. you're worth 800 mil or a billion and you leave the person you're probably closest to 25 mil? i know john got 10% of the sale from the team. i know that's a shitload of cash. but why not leave the team to your own son and keep it in the family? i could never understand why jkc did that. the mara's and hunt's didn't do what jkc did. but hey....it's his $ and he did what he wanted to do.

but his own daughter can't even pay for her school. that's pretty messed up.

[onlydarksets]

Originally Posted by skinsfan69

it just seems like a small % to leave your oldest living son that was running your football team. you're worth 800 mil or a billion and you leave the person you're probably closest to 25 mil? i know john got 10% of the sale from the team. i know that's a shitload of cash. but why not leave the team to your own son and keep it in the family? i could never understand why jkc did that. the mara's and hunt's didn't do what jkc did. but hey....it's his $ and he did what he wanted to do.

but his own daughter can't even pay for her school. that's pretty messed up.

First, she can pay for her own college if she lives within her means. She gets $50k/year. I'm sure she is eligible for student loans (which is different from financial aid), even if $50k is "not enough" (wait till Schneed gets a hold of this thread).

Second, what if his son is an idiot? JKC put the Skins in the hands of the people he thought could run it best. In this case, that was the free market.

[jgalecpa]

[quote=skinsfan69;454619]it just seems like a small % to leave your oldest living son that was running your football team. you're worth 800 mil or a billion and you leave the person you're probably closest to 25 mil? i know john got 10% of the sale from the team. i know that's a shitload of cash. but why not leave the team to your own son and keep it in the family? i could never understand why jkc did that.quote]

I can tell you why he did that.

The US Estate Tax (Title 26 USC) taxes the Gross estate at about 55%.

55% of $800m is $440m.

The payment must be made in cash.

The problem is the gross estate consisted of (mostly) the Washington Redskins, a non-cash asset.

There simply was no cash to pay that kind of tax.

The estate tax does NOT apply to amounts left to a charity, hence the JKC Foundation was born.

It is a standard estate planning device.

Ask Warren Buffet, Bill Gates, Etc.

J-Dawg.

[GTripp0012]

Originally Posted by jgalecpa

I can tell you why he did that.

The US Estate Tax (Title 26 USC) taxes the Gross estate at about 55%.

55% of $800m is $440m.

The payment must be made in cash.

The problem is the gross estate consisted of (mostly) the Washington Redskins, a non-cash asset.

There simply was no cash to pay that kind of tax.

The estate tax does NOT apply to amounts left to a charity, hence the JKC Foundation was born.

It is a standard estate planning device.

Ask Warren Buffet, Bill Gates, Etc.

J-Dawg.

Good info.