Taxpayer has 17.5 years left on an annuity contract currently 35 yrs old. Receives $800 a month with an exclusions ratio of 72% (Federal exempt). Remaining cost basis is approximately $150,000. Wants out of the annuity so if he sells (assigns) annuity to a new owner, he will lose about $30,000 since they will only pay him $120,000 of the cost basis. Are there any other hidden fees that he should be aware of? Is there another cost effective way or strategy to get out of this contract?