Exemption Trust

Exemption Trust

A trust set up by a married couple into which both spouses agree to deposit all assets of the first spouse to die, even if they would otherwise go to the second spouse. When the second spouse dies, the trust is dissolved and assets from both spouses are distributed to survivors. An exemption trust exists because the assets deposited into it are not subject to the estate tax when the second spouse passes away because they are not technically part of the estate.
References in periodicals archive ?
A will or trust may provide for the creation of subtrusts (such as an Exemption Trust or Marital Trust), which will need to be established and funded.
PROBLEM SOLUTION(S) PAGE Loss of Estate Value EXEMPTION TRUST WILL provides the 28 Through Estate Tax opportunity to reduce estate taxes (the COMPARISON OF WILLS chart on page 33 illustrates the substantial savings).
page Powers Of Attorney 454 Living Will 455 Letter Of Instructions 460 Present Interest Gifts 467 Larger Gifts 468 Simple Will 469 Exemption Trust Will 470 Revocable Living Trust 475 Life Insurance Trust 477 QTIP Trust 479 Grantor Retained Annuity Trust 480 Charitable Remainder Trust 338
Using this strategy, your clients will create two trusts for the distribution of their estate: A family trust and a marital exemption trust.
The rights to Howard's works were purchased from the United States based company Alla Ray Morris Generation Skipping Exemption Trust for an undisclosed sum.
In Corson, 114 TC 354 (2000), King, 115 TC 118 (2000) and Hale Exemption Trust, TC Memo 2001-89, jurisdiction was already conferred on the Tax Court by a petition for a deficiency redetermination.
2 Exemption Trust and the Carolyn Baird Almand Revocable Trust.
Instead of using a two-part estate plan consisting of a credit shelter trust and a marital trust, the tripartite will creates three trusts: a credit shelter, a GST exemption trust, and a marital trust.
Other Travelers Life & Annuity estate planning products available on WebStory include supplemental income, family income trust, lifetime exemption trust, credit shelter maximizer and family dynasty trust.
Type of wills (simple, exemption trust, marital share, etc.
Eligibility of nonelecting spouse's trust to challenge innocent-spouse relief: Hale Exemption Trust, TC Memo; p.
This customized presentation system, which links directly from Travelers Life Illustration System and Travelers WinFlex, will focus initially on estate planning products, including Travelers Life & Annuity's supplemental income, family income trust, lifetime exemption trust, credit shelter maximizer and family dynasty trust.