The 2% haircut

Chief Justice John Roberts, writing for a unanimous Supreme Court, holds that the 2% floor applies to the deduction for trust investment expenses. This decision validates the IRS Regs. issued last year on the subject, and likely means that trustees will now have to itemize their fee and break out the portion attributable to investment expense. The AMT may come into play as well.
UPDATE: Some commentators have noted that the Court's decision does not mandate or endorse the trustee fee unbundling, and IRS might soften its stance in response to criticism at their public hearing. On the other hand, they could offer a simple safe harbor to be used in the absence of explicitly unbundled fees, such as 50% of the trustee's fee is presumed to be for investment advice.