Oklahoma Grantor Retained Income Trust with Division into Trusts for Issue after Term of Years

• Category: Trusts - Irrevocable
• State: Multi-State
• Control #: US-0678BG
• Format: Word; Rich Text

Description

Grantor-retained income trust or GRIT is an irrevocable trust established in a written trust agreement whereby the grantor transfers assets but retains the income from or the use of these assets for a stipulated period of time. The net income is distribut Oklahoma Granter Retained Income Trust with Division into Trusts for Issue after Term of Years is a specific type of estate planning trust established in the state of Oklahoma. This trust allows a granter (the person who creates the trust) to retain an income stream from the assets placed in the trust for a specified term of years. During this period, the granter continues receiving income generated by the trust assets. At the end of the predetermined term, the remaining assets in the trust are divided into separate trusts for the benefit of the granter's designated beneficiaries, typically their children or grandchildren. This type of trust offers several advantages and strategic tax planning opportunities. By placing assets into the trust, the granter can remove these assets from their taxable estate, potentially reducing estate taxes upon their passing. The retained income also enables the granter to secure a source of income during the term without the assets being fully transferred out of their control. In Oklahoma, there can be various types of Granter Retained Income Trusts with Division into Trusts for Issue after Term of Years, each varying in terms of the duration of the term and the specific provisions set forth. Some common examples include: 1. 10-Year Granter Retained Income Trust: In this variant, the granter retains the income generated by the trust assets for a duration of 10 years. At the end of the term, the assets are divided into separate trusts for the beneficiaries. 2. 15-Year Granter Retained Income Trust: Similar to the 10-year trust, this type allows the granter to retain income for a term of 15 years before the division into trusts for the beneficiaries. 3. 20-Year Granter Retained Income Trust: This trust extends the duration of income retention to 20 years, providing the granter with a longer period of income stream. These are just a few examples, and the terms and provisions of the trust can be customized to meet the specific needs and goals of the granter. It is essential to consult with an experienced estate planning attorney in Oklahoma to fully understand the implications, benefits, and potential drawbacks of establishing an Oklahoma Granter Retained Income Trust with Division into Trusts for Issue after Term of Years.

Oklahoma Granter Retained Income Trust with Division into Trusts for Issue after Term of Years is a specific type of estate planning trust established in the state of Oklahoma. This trust allows a granter (the person who creates the trust) to retain an income stream from the assets placed in the trust for a specified term of years. During this period, the granter continues receiving income generated by the trust assets. At the end of the predetermined term, the remaining assets in the trust are divided into separate trusts for the benefit of the granter's designated beneficiaries, typically their children or grandchildren. This type of trust offers several advantages and strategic tax planning opportunities. By placing assets into the trust, the granter can remove these assets from their taxable estate, potentially reducing estate taxes upon their passing. The retained income also enables the granter to secure a source of income during the term without the assets being fully transferred out of their control. In Oklahoma, there can be various types of Granter Retained Income Trusts with Division into Trusts for Issue after Term of Years, each varying in terms of the duration of the term and the specific provisions set forth. Some common examples include: 1. 10-Year Granter Retained Income Trust: In this variant, the granter retains the income generated by the trust assets for a duration of 10 years. At the end of the term, the assets are divided into separate trusts for the beneficiaries. 2. 15-Year Granter Retained Income Trust: Similar to the 10-year trust, this type allows the granter to retain income for a term of 15 years before the division into trusts for the beneficiaries. 3. 20-Year Granter Retained Income Trust: This trust extends the duration of income retention to 20 years, providing the granter with a longer period of income stream. These are just a few examples, and the terms and provisions of the trust can be customized to meet the specific needs and goals of the granter. It is essential to consult with an experienced estate planning attorney in Oklahoma to fully understand the implications, benefits, and potential drawbacks of establishing an Oklahoma Granter Retained Income Trust with Division into Trusts for Issue after Term of Years.