One of the more controversial changes in the new Federal tax laws passed in late December was that the itemized deduction for State and local taxes is now limited to $10,000.
Some State governments have tried to figure out a way around the limit for their citizens. However, the IRS shot most of those down. However, some estate planning attorneys might have found a solution, according to Bloomberg in "How the Rich Can Dodge Trump's Property Tax Hike."
The idea is to first create an LLC in a non-income tax State, such as Delaware or Alaska. Real estate ownership is then transferred to the LLC. After that, several non-grantor trusts are created. Ownership of the LLC is then divided up and transferred to the new trusts. When tax time comes around each non-grantor trust can arguably take a $10,000 deduction for any property taxes that were paid by the LLC. Effectively, the new deduction limit can be rendered moot.
Of course, the solution still faces the scrutiny of the IRS.
Reference: Bloomberg (June 15, 2018) "How the Rich Can Dodge Trump's Property Tax Hike."