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FS Publication 0049 Department of the Treasury Bureau of the Fiscal Service (Revised August 2015)Question: Answer:QUESTIONS AND ANSWERS ABOUT TRUSTSWhat is a trust? A trust is real or personal property.

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The term under agreement dated (UAD) is typically used in connection with a living trust.

Income taxation of trusts Income retained by the trust--Generally, trusts are "pass-through entities." This means that trust income retained by the trust is taxed to the trust (but not if it is a charitable remainder trust), while distributed income is taxed to the beneficiary who receives it.

U/T/D stands for Under Trust Dated. It is one of the two identifying features for your trust. Your trust has a name so it'd be the Greg revocable trust and then it has a U/T/D date. An under trust date, that's the date the document was signed.

The Revocable Trust creates a legal relationship where there is a written trust agreement. A Trust of this type is often referred to as a Trust under agreement , Grantor Trust , or Living Trust. As its name implies, it is revocable.

Trusts are established to provide legal protection for the trustor's assets, to make sure those assets are distributed according to the wishes of the trustor, and to save time, reduce paperwork and, in some cases, avoid or reduce inheritance or estate taxes.

Generally, assets you want in your trust include real estate, bank/saving accounts, investments, business interests and notes payable to you. You will also want to change most beneficiary designations to your trust so those assets will flow into your trust and be part of your overall plan.

A see-through trust is a vehicle through which individuals may pass retirement assets from their individual retirement accounts (IRAs), via a trust, to their chosen beneficiaries. See-through trusts let IRA owners choose who will be the beneficiaries of the account after the owner is deceased.

When the maker of a revocable trust, also known as the grantor or settlor, dies, the assets become property of the trust. If the grantor acted as trustee while he was alive, the named co-trustee or successor trustee will take over upon the grantor's death.

Any income/losses and capital gains/ losses earned in the in-trust account will be taxed in the trust unless the income or capital gains are paid or made payable to the beneficiaries. Income taxed in the trust is taxable at the highest marginal tax rate.

A trust agreement is a document that spells out the rules that you want followed for property held in trust for your beneficiaries. Common objectives for trusts are to reduce the estate tax liability, to protect property in your estate, and to avoid probate.

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Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
DMCA Policy
About Us
Blog
Affiliates
Contact Us
Privacy Notice
Delete My Account
Site Map
All Forms
Search all Forms
Industries
Forms in Spanish
Localized Forms
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate workflows
DocHub
Instapage
Social Media
Call us now toll free:
1-877-389-0141
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232