What is a living Trust?
A Trust is a tripartite relationship between three parties, where one party gives rights over his assets to another party for the benefit of a third party.
There are several types of Trusts which include a living trust, corporate trust, public trust and private trust.
A living trust which is the scope in which this article will cover, is a trust that is created in the lifetime of the creator of the trust for a beneficiary.
A living trust can either be revocable or irrevocable.
A revocable trust simply put is a trust relationship where the grantor of the trust still has control over the assets of the trust and the power to make changes to the trust during his lifetime.
An irrevocable trust on the other hand, is a trust relationship where the grantor gives the trustee full control of his assets and for the purposes of tax, it’s a separate entity. The grantor of the trust no longer has control of the assets. The trust cannot be altered or removed by the grantor both during his lifetime and after his death
- – Team 618 Bees
The information in this blog post (“post”) is provided for general informational purposes only, no information contained in this post should be construed as legal advice, nor is it intended to be a substitute for legal counsel on any subject matter. No reader of this post should act or refrain from acting on the basis of any information included in, or accessible through this post without seeking the appropriate legal or professional advice from the particular facts and circumstances at issue from a lawyer. This post is protected by intellectual property law and regulations. It may however be shared using appropriate sharing tools provided that our authorship is always acknowledged and this Disclaimer Notice attached.
Chat on WhatsApp