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.
Travis Texas Inter Vivos Granter Charitable Lead Annuity Trust, also known as TTI VC Lead Annuity Trust, is a specific type of legal arrangement that allows an individual (the Granter) to provide financial support to charitable organizations while still benefiting from the income generated by an annuity. This trust is established during the lifetime of the Granter and is primarily used for estate planning and philanthropic purposes. In a Travis Texas Inter Vivos Granter Charitable Lead Annuity Trust, the Granter transfers assets such as cash, stocks, or real estate into the trust. The trust, in turn, pays a fixed annual annuity amount to one or more charitable organizations for a predetermined period of time, known as the lead period. At the end of the lead period, the remaining assets in the trust are typically transferred to the Granter's designated beneficiaries or retained by the trust for future distributions. The key element of this trust is the charitable lead annuity, where the charity receives a fixed payment each year. The annuity amount can be expressed as a specific dollar amount or a percentage of the trust's initial value, and it is typically based on the assets' fair market value at the time of contribution. This arrangement ensures consistent financial support to charities while providing potential tax benefits for the Granter. One notable feature of the Travis Texas Inter Vivos Granter Charitable Lead Annuity Trust is that it allows the Granter to retain some control over the distribution of the trust's assets. Unlike other types of charitable trusts, the Granter can specify the charitable beneficiaries, the annuity amount, and the duration of the lead period. This flexibility enables the Granter to custom-tailor the trust to their unique philanthropic goals and financial objectives. It is important to note that there may be variations or additional types of Inter Vivos Granter Charitable Lead Annuity Trusts specific to the Travis Texas jurisdiction. However, these variations differ in terms of the specific legal and tax regulations governing charitable trusts in that jurisdiction. It is recommended to consult with a qualified attorney or financial advisor with experience in Travis Texas estate planning to fully understand the nuances and options available within the Travis Texas Inter Vivos Granter Charitable Lead Annuity Trust framework.Travis Texas Inter Vivos Granter Charitable Lead Annuity Trust, also known as TTI VC Lead Annuity Trust, is a specific type of legal arrangement that allows an individual (the Granter) to provide financial support to charitable organizations while still benefiting from the income generated by an annuity. This trust is established during the lifetime of the Granter and is primarily used for estate planning and philanthropic purposes. In a Travis Texas Inter Vivos Granter Charitable Lead Annuity Trust, the Granter transfers assets such as cash, stocks, or real estate into the trust. The trust, in turn, pays a fixed annual annuity amount to one or more charitable organizations for a predetermined period of time, known as the lead period. At the end of the lead period, the remaining assets in the trust are typically transferred to the Granter's designated beneficiaries or retained by the trust for future distributions. The key element of this trust is the charitable lead annuity, where the charity receives a fixed payment each year. The annuity amount can be expressed as a specific dollar amount or a percentage of the trust's initial value, and it is typically based on the assets' fair market value at the time of contribution. This arrangement ensures consistent financial support to charities while providing potential tax benefits for the Granter. One notable feature of the Travis Texas Inter Vivos Granter Charitable Lead Annuity Trust is that it allows the Granter to retain some control over the distribution of the trust's assets. Unlike other types of charitable trusts, the Granter can specify the charitable beneficiaries, the annuity amount, and the duration of the lead period. This flexibility enables the Granter to custom-tailor the trust to their unique philanthropic goals and financial objectives. It is important to note that there may be variations or additional types of Inter Vivos Granter Charitable Lead Annuity Trusts specific to the Travis Texas jurisdiction. However, these variations differ in terms of the specific legal and tax regulations governing charitable trusts in that jurisdiction. It is recommended to consult with a qualified attorney or financial advisor with experience in Travis Texas estate planning to fully understand the nuances and options available within the Travis Texas Inter Vivos Granter Charitable Lead Annuity Trust framework.
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.
