A Grantor Charitable Lead Annuity Trust (CLAT) is an irrevocable split-interest trust that provides for a specified amount to be paid to one or more charitable beneficiaries during the term of the trust. The principal remaining in the trust at the end of the term is paid over to, or held in a continuing trust for, a non-charitable beneficiary or beneficiaries identified in the trust. If the terms of a CLAT created during the donor's life satisfy the applicable statutory and regulatory requirements, a gift of the charitable lead annuity interest will qualify for the gift tax charitable deduction under § 2522(c)(2)(B) and/or the estate tax charitable deduction under § 2055(e)(2)(B). In certain cases, the gift of the annuity interest may also qualify for the income tax charitable deduction under § 170(a). The value of the remainder interest is a taxable gift by the donor at the time of the donor's contribution to the trust.
This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
The Suffolk New York Inter Vivos Granter Charitable Lead Annuity Trust is a specific type of charitable trust that is established by a granter during their lifetime. This legal instrument serves as a tool for individuals in Suffolk County, New York, who wish to support charitable causes while also protecting their assets and minimizing estate taxes. The primary purpose of the Inter Vivos Granter Charitable Lead Annuity Trust (FLAT) is to provide financial support to approved charitable organizations or causes for a fixed duration of time, typically a predetermined number of years. During this specified period, the trust distributes a fixed annuity amount to the designated charitable beneficiary. This annuity can be either a percentage of the initial trust assets or a fixed dollar amount, depending on the terms established by the granter. By creating a FLAT, the granter can enjoy several benefits. Firstly, they can contribute substantial assets to the trust, such as real estate, cash, securities, or other valuable holdings, and receive an immediate charitable deduction, reducing their taxable income for the year of the donation. Additionally, as the granter, they have control over the specific charitable beneficiary, duration of the annuity payments, and the amount of these payments. There are two main types of Suffolk New York Inter Vivos Granter Charitable Lead Annuity Trusts: 1. Charitable Lead Annuity Trust with a Fixed Term: This type of FLAT distributes a fixed annuity payment to the designated charitable beneficiary for a predetermined number of years. At the end of the term, the remaining assets in the trust are transferred back to the granter or to other non-charitable beneficiaries, such as family members. 2. Charitable Lead Annuity Trust with a Remainder Interest: In this variant of the FLAT, the remaining assets in the trust after the annuity payments have been made do not revert to the granter but are instead transferred to non-charitable beneficiaries, such as family members, or to another trust, like an irrevocable charitable remainder trust. Overall, the Suffolk New York Inter Vivos Granter Charitable Lead Annuity Trust is a powerful estate planning tool that allows individuals to support causes they deeply care about while enjoying potential tax benefits and retaining control over their assets. It is important to consult with an experienced attorney or financial advisor to understand the specific implications and requirements of establishing such a trust.The Suffolk New York Inter Vivos Granter Charitable Lead Annuity Trust is a specific type of charitable trust that is established by a granter during their lifetime. This legal instrument serves as a tool for individuals in Suffolk County, New York, who wish to support charitable causes while also protecting their assets and minimizing estate taxes. The primary purpose of the Inter Vivos Granter Charitable Lead Annuity Trust (FLAT) is to provide financial support to approved charitable organizations or causes for a fixed duration of time, typically a predetermined number of years. During this specified period, the trust distributes a fixed annuity amount to the designated charitable beneficiary. This annuity can be either a percentage of the initial trust assets or a fixed dollar amount, depending on the terms established by the granter. By creating a FLAT, the granter can enjoy several benefits. Firstly, they can contribute substantial assets to the trust, such as real estate, cash, securities, or other valuable holdings, and receive an immediate charitable deduction, reducing their taxable income for the year of the donation. Additionally, as the granter, they have control over the specific charitable beneficiary, duration of the annuity payments, and the amount of these payments. There are two main types of Suffolk New York Inter Vivos Granter Charitable Lead Annuity Trusts: 1. Charitable Lead Annuity Trust with a Fixed Term: This type of FLAT distributes a fixed annuity payment to the designated charitable beneficiary for a predetermined number of years. At the end of the term, the remaining assets in the trust are transferred back to the granter or to other non-charitable beneficiaries, such as family members. 2. Charitable Lead Annuity Trust with a Remainder Interest: In this variant of the FLAT, the remaining assets in the trust after the annuity payments have been made do not revert to the granter but are instead transferred to non-charitable beneficiaries, such as family members, or to another trust, like an irrevocable charitable remainder trust. Overall, the Suffolk New York Inter Vivos Granter Charitable Lead Annuity Trust is a powerful estate planning tool that allows individuals to support causes they deeply care about while enjoying potential tax benefits and retaining control over their assets. It is important to consult with an experienced attorney or financial advisor to understand the specific implications and requirements of establishing such a trust.
Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.
