Legal Question in Tax Law in Missouri

You raised a number of interrelated questions. To begin with, when you receive the annuity payment you should be able to hire a tax advisor or preparer to give you complete advice after getting all the facts. Here is a brief summary, but it does not replace getting professional advice. First, you are taxable if you receive the proceeds. Second, money you give to family members becomes a gift to them. While it may be a reportable gift on a gift tax return, there may be no gift tax involved if the very large exemption applies without any restrictions. Third, you generally cannot shift the income that is taxable to another person. But, that still works as you can pay the income taxes and make a gift to family members of the balance. Lastly, the missing person's share still belongs to him, and it may be necessary to go to court to try to find him or to determine where the money should be paid. In most cases, persons can be located through government or other records. Failing that, the money may ultimately be paid over to the state as unclaimed property. All that being said, there are may variable involved, all of the facts need to be ascertained, and professional advice is necessary in this situation.