Grantor Retained Income Trust (GRIT)

A tax-saving trust in which a grantor transfers property to a beneficiary, but receives income until termination, at which time the beneficiary begins receiving the income.

Grantor Retained Income Trust

A trust in which the grantor places some assets for the beneficiary, but retains the right to receive income from those assets up to a certain point, at which time the beneficiary begins to receive the income. This allows the beneficiary to receive income from the trust without being subject to the estate tax. A disadvantage is the possibility that the grantor will die before the expiration of the trust, which results in the assets transferring to the grantor's estate. In that case, the beneficiary does not receive anything. It is also called a grantor retained annuity trust.

References in periodicals archive

"We make sure all grit bins are filled for the start of the winter period, then refill after significant snow events and make sure they are full before the Christmas holidays.

Kirklees gritting teams set new road clearing record

Best results are achieved when the wood filler is applied after normal sanding with 180 or 220 grit, and then lightly re-sanded with 220 grit after the filler dries.

A walk through the woods: here's some tips for effectively sanding popular wood species

The spouses may choose to set up one GRIT for each spouse, a joint GRIT, or if one spouse is much younger or healthier, or has a family history of longevity, they could have the other spouse transfer his interest to the young/healthy spouse before the transfer of the residence to the GRIT.

Residence (and nonresidence) GRITs

Hunter gets the store involved in the festival by building a mammoth display of grits near the front end.

True grits: promotional pizazz, community involvement and a whole lot of grits have translated into extra sales for one Piggly Wiggly store

Unison say private contractors do not return grit, is that correct?

Gritting: Kirklees' side of the story

I didn't have much time in the mornings to eat breakfast, and my mother's words rang in my head: "Make time to eat breakfast, always." Looking for ways to save time in the morning, I saw boxes of instant grits on the grocery-store shelves and picked up a butter-flavored pack.

Grits aren't just for breakfast any longer

From the fourth grade through the 12th, I sold subscriptions to GRIT and another magazine to help pay for my school supplies and books.

From the Mailbox

A grantor retained income trust (GRIT) gives the income beneficiary a right to all the income that the trust corpus earns and is therefore deemed the owner of the trust income.

Placing S stock in trust

GRITs can streamline asset management and estate administration and reduce costs.

The benefits of GRITs

He said: "Over the Christmas period we did 21 grits on priority routes, six were between 26-30 December "The worst was Boxing Day.

'TRUEGRIT'TESTS TO IMPROVE ROADS

Grits are made from corn, one of the South's major staples.

True grits: whether served plain or fancy, this classic Southern dish always offers a taste of (down)home

* Transfers in trust, including grantor retained income trusts (GRITs): Prop.

... Transfers in trust