This is a sample Community Trust. Community trusts are joint trusts that are set up by married couples. They allow spouses in non-community property states to enjoy the same benefits as spouses in community property states. This type of trust holds assets that the couple deposits to the trust.
One perk is that when one spouse passes away, the surviving partner often gets a step-up in the tax basis for the property, which could really help out when it comes to taxes down the line.
Setting it up isn’t rocket science, but it’s a good idea to have a lawyer help you out. They can guide you through the ins and outs to make sure everything’s done right.
If you two decide to part ways, the trust typically gets dissolved during the divorce proceedings, and you’ll divide the property as per your agreement or the court's decision.
Pretty much anything you both own together, like your house, cars, and bank accounts. Just remember, it should be community property, meaning both spouses have an equal interest in it.
Not everyone can, unfortunately. Only legally married couples can create a Community Property Trust in Louisiana, as it’s designed to work specifically for married partnerships.
This trust can make things easier if something happens to one of you. It allows for a smooth transfer of property to the surviving partner without long court processes, keeping the family together.
A Community Property Trust is a legal tool that allows married couples in Louisiana to manage and protect their property together. It helps ensure that both partners have equal say and share in property decisions.