Grantor Retained Annuity Trusts (GRATs) are legal trusts that allow asset owners to transfer appreciating assets to heirs with minimal or no gift tax. Phil Knight, Nike's founder, reportedly used a series of GRATs to pass billions in Nike stock to his heirs while paying almost no gift tax. GRATs work by placing assets in a short-term trust that pays back the original value plus interest; any growth above that interest passes tax-free to heirs. This strategy is effective for concentrated stock positions and other appreciating assets but requires careful setup and the grantor to outlive the trust term. Despite attempts, Congress has not changed the rules as of 2026, making GRATs a powerful estate planning tool for those with assets expected to grow beyond the IRS interest rate hurdle.
More than 40 S&P 500 companies have reported receiving $9.6 billion in tariff refunds recently, with $2.1 billion already paid out. Major recipients include Apple ($2.2B), Nike ($986M), FedEx ($800M), Amazon ($640M), and General Motors ($500M). These...
Nike reported better-than-expected Q4 FY26 results driven by improved gross margins from tariff recoveries and ongoing turnaround efforts. The company is revamping its Greater China approach by cutting thousands of online distributors to focus on fla...
The Equal Employment Opportunity Commission (EEOC) has dropped its subpoena enforcement action against Nike, stating the company complied with information requests related to an investigation of its diversity and inclusion policies. The EEOC had soug...
