trust

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Trust

A fiduciary relationship calling for a trustee to hold the title to assets for the benefit of the beneficiary. The person creating the trust, who may or may not also be the beneficiary, is called the grantor.

Trust

1. A relationship in which one party, known as the trustor, gives to a person or organization, known as the trustee, the right to hold and invest assets or property on behalf of a third party, known as the beneficiary. Most trusts exist to provide for the financial future of a minor child or mentally incompetent person. Trusts may also be set up to benefit charitable organizations. The trust agreement indicates at what time, if any, the beneficiary takes direct control of the assets. The beneficiary often receives disbursements to meet basic expenses until the time comes when the beneficiary takes control. Trusts are taxed on all money not given to the beneficiary. See also: Escrow, Charitable trust.

2. See: Monopoly.

trust

A legal arrangement whereby control over property is transferred to a person or organization (the trustee) for the benefit of someone else (the beneficiary). Trusts are created for a variety of reasons, including tax savings and improved asset management. See also charitable lead trust, charitable remainder trust, Clifford trust, marital-deduction trust, QTIP trust.

Trust.

When you create a trust, you transfer money or other assets to the trust.

You give up ownership of those assets in order to accomplish a specific financial goal or goals, such as protecting assets from estate taxes, simplifying the transfer of property, or making provision for a minor or other dependents.

When you establish the trust, you are the grantor, and the people or institutions you name to receive the trust assets at some point in the future are known as beneficiaries. You also designate a trustee or trustees, whose job is to manage the assets in the trust and distribute them according to the instructions you provide in the trust document.

trust

  1. a collection of ASSETS held and managed by appointed trustees on behalf of an individual or group of people. Trusts are often established to minimize the amount of INCOME TAX and WEALTH TAX an individual or group is required to pay. See TRUSTEE INVESTMENTS.
  2. see UNIT TRUST.
  3. an alternative term for a CARTEL (most commonly used in the USA).

trust

  1. ASSETS held and managed by trustees on behalf of an individual or group. While these assets are held in trust, the beneficiaries have no control over the management of them. In the UK, trusts have been used extensively to minimize the effects of income and wealth taxes.
  2. (formerly, in the USA) a means of organizing CARTELS, provoking the establishment of anti-trust (anti-monopoly) legislation.

trust

The practice of one party holding legal title to real property or other assets for the benefit of someone else,called the beneficiary.The one with the legal title is called the trustee.The person or entity that set up the trust is called the trustor.Trusts are extremely important in tax and estate planning but should almost never be established without the assistance of a tax attorney who is well skilled in the area. A very slight deviation from the format acceptable to the IRS could prove disastrous.

Trust

A tax entity created by a trust agreement. This entity distributes all or part of its income to beneficiaries as instructed by the trust agreement. This entity is required to pay taxes on undistributed income
References in periodicals archive ?
Those programs have their own trust fund, but managers are able to keep that trust fund solvent by adjusting the premiums every year.
That year, EIB invested Provident Plans' trust funds in a seven-year 'double-your-money' time deposit.
The expert then noted that another subcontractor on the Linden Ponds project, asserting the same trust fund rights regarding the project owner's payments to the debtor on the Linden Ponds project, had received payment from the debtor on the same day as the defendant received the alleged preference.
Because the assets held by the trust fund are federal
The Welsh Assembly Government is doing everything it can to explore ways in which our existing investment in setting up Child Trust Funds Cymru can be protected to maintain our commitment to Wales' children.
The IRS will aggressively pursue the assessment and collection of the Trust Fund Recovery Penalty against people who authorized or signed checks to other creditors when they knew the trust funds were unpaid.
Large benefit offsets would make personal accounts less costly for the trust fund but riskier for the worker.
When that wasn't possible because the polluting company had gone out of business, CERCLA provided for a trust fund to pay for these orphan sites to be cleaned.
An additional pounds 250 will be paid automatically into the Child Trust Fund accounts of children in families eligible for full Child Tax Credit with household income at or below pounds 13,480 (the limit in 2004-2005) for the year in which Child Benefit was first claimed.
Members of the legislature and media also received press kits designed by the Florida Housing Coalition containing important information and data about the housing trust fund dollars, potential loss of job index, loss of actual houses and statistics indicating loss of economic power throughout the state of Florida, county-by-county.
Since its inception in 1992, the trust fund has helped more than 150,000 working families, seniors, and people with disabilities own homes or find decent housing.
According to Pope and Young Club (P&Y) Trust Fund officer Bob DeLaney, in addition to the $10,000 raised for the Trust Fund at the Wisconsin P&Y convention, an anonymous member donated $10,000 on May 12, 2003.