accumulation and maintenance trust
- accumulation and maintenance trust
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A trust established under section 71 of the Inheritance Tax Act 1984 which has certain tax advantages where there are young children. The beneficiaries must generally attain an interest in the income or capital of the trust fund by the time they reach 25, but until they reach age 18 the trustees can choose whether trust income should be applied for the benefit of the beneficiaries or accumulated for later distribution. They are similar to discretionary trusts except that the beneficiary must obtain an interest in the trust income or capital no later than his attaining age 25.
Related links
Practical Law Dictionary. Glossary of UK, US and international legal terms.
www.practicallaw.com.
2010.
Look at other dictionaries:
Accumulation and Maintenance trust — Accumulation Maintenance ( A M ) trusts are a type of discretionary trust for the benefit of children and young people in England and Wales.Development and tax treatment* The concept of an A M trust emerged in England and Wales after the… … Wikipedia
trust — n 1 a: 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 b: an entity resulting from the establishment of such a relationship see also… … Law dictionary
Express trust — Where property is passed to a person but no gift is made, it is held for the owner, this is the Resulting trust; where property should for some reason of public policy or fairness or rule of Equity be held for someone other than the legal owner,… … Wikipedia
charitable trust — see trust Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. charitable trust n … Law dictionary
resulting trust — see trust Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. resulting trust … Law dictionary
constructive trust — see trust Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. constructive trust … Law dictionary
18 to 25 trust — England, Wales 18 to 25 trust Also known as a section 71D trust (section 71D trust). A trust for the benefit of a person aged under 25 who will become absolutely entitled to the whole of the trust property on or before his 25th birthday (section… … Law dictionary
18-25 trust — England, Wales 18 to 25 trust Also known as a section 71D trust (section 71D trust). A trust for the benefit of a person aged under 25 who will become absolutely entitled to the whole of the trust property on or before his 25th birthday (section… … Law dictionary
section 71D trust — England, Wales 18 to 25 trust Also known as a section 71D trust (section 71D trust). A trust for the benefit of a person aged under 25 who will become absolutely entitled to the whole of the trust property on or before his 25th birthday (section… … Law dictionary
discretionary trust — see trust Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. discretionary trust … Law dictionary
