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 Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trust is a legal entity that allows individuals to make charitable contributions while still maintaining control over their assets during their lifetime. This type of trust is established and funded by a donor, referred to as the granter, with the intention of providing financial support to charitable organizations in Wake North Carolina. Keywords: Wake North Carolina, Inter Vivos Granter Charitable Lead Annuity Trust, legal entity, charitable contributions, assets, lifetime, donor, financial support, charitable organizations. There are different types of Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trusts that individuals can establish based on their specific goals and preferences. These different types may include: 1. Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trust with Fixed Income Distribution: In this type of trust, the charitable organization receives a fixed annuity payment each year for the specified term, regardless of the trust's investment performance or income generated. 2. Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trust with Percentage Income Distribution: With this type of trust, the charitable organization receives a percentage of the trust's income each year, allowing for potential growth if the trust's investments perform well. 3. Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trust with Flip Provision: This type of trust allows the granter to change the remainder beneficiaries after a certain event occurs. For example, the granter may initially name a charitable organization as the remainder beneficiary, but if circumstances change, they can "flip" the beneficiary designation to a different charity or even back to themselves or their descendants. 4. Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trust with Diversionary Clause: In this type of trust, if the charitable organization ceases to exist or fulfill its purpose, the assets revert to the granter or their named beneficiaries. Using any of these types of Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trusts allows individuals to support charitable causes in their community while still enjoying financial benefits and control over their assets during their lifetime. It is important to consult with a qualified estate planning attorney or financial advisor to determine the most suitable type of trust based on individual circumstances and objectives.The Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trust is a legal entity that allows individuals to make charitable contributions while still maintaining control over their assets during their lifetime. This type of trust is established and funded by a donor, referred to as the granter, with the intention of providing financial support to charitable organizations in Wake North Carolina. Keywords: Wake North Carolina, Inter Vivos Granter Charitable Lead Annuity Trust, legal entity, charitable contributions, assets, lifetime, donor, financial support, charitable organizations. There are different types of Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trusts that individuals can establish based on their specific goals and preferences. These different types may include: 1. Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trust with Fixed Income Distribution: In this type of trust, the charitable organization receives a fixed annuity payment each year for the specified term, regardless of the trust's investment performance or income generated. 2. Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trust with Percentage Income Distribution: With this type of trust, the charitable organization receives a percentage of the trust's income each year, allowing for potential growth if the trust's investments perform well. 3. Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trust with Flip Provision: This type of trust allows the granter to change the remainder beneficiaries after a certain event occurs. For example, the granter may initially name a charitable organization as the remainder beneficiary, but if circumstances change, they can "flip" the beneficiary designation to a different charity or even back to themselves or their descendants. 4. Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trust with Diversionary Clause: In this type of trust, if the charitable organization ceases to exist or fulfill its purpose, the assets revert to the granter or their named beneficiaries. Using any of these types of Wake North Carolina Inter Vivos Granter Charitable Lead Annuity Trusts allows individuals to support charitable causes in their community while still enjoying financial benefits and control over their assets during their lifetime. It is important to consult with a qualified estate planning attorney or financial advisor to determine the most suitable type of trust based on individual circumstances and objectives.
