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a family limited partnership is typically utilized in agriculture to reduce income and transfer taxes acting as the vehicle to distribute assets to family errors while keeping control of the business roger McCowen with the Washburn University School of Law joins us now to review formation considerations of an FLP thank you for joining us and good morning Roger what are the key distinguishing characteristics of an MLP alright John good to be with you there are some key ones and I would just to boil it down to you for you I think the key characteristics are that theyre usually held the interesting the energy are usually held by family members or at least entities that are controlled by family members including spouses and ancestors and lineal descendants and trusts that are set up to work on behalf of those family members house in FLP form then Roger well we always want to look to the documents that form the entity so we need to have a good written agreement that establishes the rights
