A trust is a fiduciary relationship in which one party holds legal title to another's property for the benefit of a party who holds equitable title to the property. An inter vivos trust is a trust that becomes effective during the lifetime of the person creating the trust (the settler or trustor).
A qualified terminable interest property trust, often referred to as a "QTIP" trust, allows a bequest to a spouse in trust that, after a proper election by the beneficiary spouse, qualifies for the unlimited marital deduction:
" if the beneficiary spouse is entitled to all of the income from the trust property,
" if the income is payable annually or at more frequent intervals, and
" if no person, including the beneficiary spouse, has the power to appoint any part of the qualifying property to any person other than the beneficiary spouse during the beneficiary spouse's lifetime.
In order that the property transferred to a surviving spouse by means of an inter vivos marital deduction trust qualify for the marital deduction, the property must be includible in the trustor's gross estate for federal estate tax purpose.
A Queens New York Inter Vivos TIP Trust with Principal to Donor's Children on Spouse's Death is a specific type of trust arrangement that can be established in Queens, New York. This trust provides for the transfer of assets to the donor's children upon the death of their spouse, while also ensuring that the surviving spouse is taken care of financially during their lifetime. Keywords: Queens New York, Inter Vivos TIP Trust, Principal, Donor's Children, Spouse's Death, trust arrangement, transfer of assets, surviving spouse, financially, lifetime. There are different variations of the Queens New York Inter Vivos TIP Trust with Principal to Donor's Children on Spouse's Death, including: 1. Standard TIP Trust: This type of trust allows the donor to provide income for their surviving spouse over their lifetime. After the surviving spouse's death, the trust assets are then passed on to the donor's children. 2. Marital Deduction TIP Trust: This trust option allows for the transfer of assets to a trust, with the surviving spouse receiving income from the trust during their lifetime. The remaining trust assets are then distributed to the donor's children upon the surviving spouse's death. 3. Income-only TIP Trust: With this type of trust, the surviving spouse receives income from the trust assets for life. However, the principal of the trust is preserved and ultimately passed on to the donor's children upon the surviving spouse's death. 4. TIP Trust with Discretionary Distributions: This trust structure provides the surviving spouse with income from the trust, and the trustee has the authority to make discretionary distributions of principal if needed for their support. The principal ultimately goes to the donor's children upon the surviving spouse's death. Each type of Queens New York Inter Vivos TIP Trust with Principal to Donor's Children on Spouse's Death has its own specific rules and benefits. These trusts are often utilized to provide for both the financial security of the surviving spouse and the eventual inheritance of the donor's children, ensuring that assets are protected and efficiently transferred according to the donor's wishes. Consulting with an experienced estate planning attorney in Queens, New York, is crucial for establishing the appropriate type of trust based on individual circumstances and objectives.A Queens New York Inter Vivos TIP Trust with Principal to Donor's Children on Spouse's Death is a specific type of trust arrangement that can be established in Queens, New York. This trust provides for the transfer of assets to the donor's children upon the death of their spouse, while also ensuring that the surviving spouse is taken care of financially during their lifetime. Keywords: Queens New York, Inter Vivos TIP Trust, Principal, Donor's Children, Spouse's Death, trust arrangement, transfer of assets, surviving spouse, financially, lifetime. There are different variations of the Queens New York Inter Vivos TIP Trust with Principal to Donor's Children on Spouse's Death, including: 1. Standard TIP Trust: This type of trust allows the donor to provide income for their surviving spouse over their lifetime. After the surviving spouse's death, the trust assets are then passed on to the donor's children. 2. Marital Deduction TIP Trust: This trust option allows for the transfer of assets to a trust, with the surviving spouse receiving income from the trust during their lifetime. The remaining trust assets are then distributed to the donor's children upon the surviving spouse's death. 3. Income-only TIP Trust: With this type of trust, the surviving spouse receives income from the trust assets for life. However, the principal of the trust is preserved and ultimately passed on to the donor's children upon the surviving spouse's death. 4. TIP Trust with Discretionary Distributions: This trust structure provides the surviving spouse with income from the trust, and the trustee has the authority to make discretionary distributions of principal if needed for their support. The principal ultimately goes to the donor's children upon the surviving spouse's death. Each type of Queens New York Inter Vivos TIP Trust with Principal to Donor's Children on Spouse's Death has its own specific rules and benefits. These trusts are often utilized to provide for both the financial security of the surviving spouse and the eventual inheritance of the donor's children, ensuring that assets are protected and efficiently transferred according to the donor's wishes. Consulting with an experienced estate planning attorney in Queens, New York, is crucial for establishing the appropriate type of trust based on individual circumstances and objectives.
