A Letter to Our Valued Clients and Colleagues Re: Health and Financial Security

We understand that you are deeply concerned about the potential health and financial impact of the coronavirus pandemic on yourself and your loved ones. While health issues are, undoubtedly, of paramount importance, we do want to take this opportunity to be certain that you are aware of particular legal, tax, financial and other implications to which you might also choose to react.

Living wills, do not resuscitate orders, health care proxies and other healthcare-related documents may be crucial to review at this time for several reasons. Many of these documents, especially standard forms obtained online or elsewhere, may contain language that could be completely contrary to what you might wish to have done from a treatment standpoint during the coronavirus pandemic. For instance, some of these documents may prohibit intubation under all circumstances. Many people who sign such prohibitive forms have in mind an extended stay in a hospital connected to an array of tubes being artificially kept alive. However, if you are not presently in a terminal condition and contract coronavirus, since it is a lower respiratory tract infection with symptoms felt in the chest and lungs, it is possible that you would need to be intubated to survive it. Please make sure that your documents would enable such treatment under the circumstances.

While worries of health are top of mind, so is financial security. As we all know too well, the stock market has been adversely affected. The impact of the pandemic on businesses, especially closely-held businesses, could be dramatic and negative for many, although the actual effect will vary significantly by the type and nature of the business. These changes might suggest revisiting retirement plans, estate plans, financial models, business succession plans and much more. Additionally, the present uncertainty creates what could be an invaluable opportunity to pursue estate tax minimization strategies. Should there be a Democratic victory in 2020, the proposals of a much harsher estate tax, and a capital gains tax on death (or carryover basis), may dramatically change the planning landscape. While you may prefer to wait for the coronavirus pandemic to resolve, that delay may ultimately preclude you from being able to take valuable actions.

We want to assure you that our entire staff is working remotely from home. We remain reachable at your convenience by email, and our office phones are monitored regularly. During this difficult time, we remain ready to advise or assist. Most importantly, we hope that you and your family stay safe and healthy.