Nolo’s Plain-English Law Dictionary. Gerald N. Hill, Kathleen Thompson Hill. 2009.
Bypass Trust — An estate planning device used to pass down assets after death without subjecting them to the estate tax. A bypass trust is a type of irrevocable trust and is most commonly used to pass assets from parents to children at the time of the second… … Investment dictionary
Bypass trust — A bypass trust is typically created as part of an A/B Living trust estate plan after the death of the first spouse to die.The bypass trust receives property as specified in the trust document the bypass trust may receive all of the property of… … Wikipedia
bypass trust — An irrevocable trust that is designed to pay trust income (and principal, if needed) to an individual s spouse for the duration of the spouse s lifetime. The bypass trust is not part of the beneficiary spouse s estate and is not subject to… … Financial and business terms
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
bypass shelter trust — by·pass shelter trust n: bypass trust at trust Merriam Webster’s Dictionary of Law. Merriam Webster. 1996 … Law dictionary
trust — A legal entity created by a grantor for the benefit of designated beneficiaries under the laws of the state and the valid trust instrument. The trustee holds a fiduciary responsibility to manage the trust s corpus assets and income for the… … Black's law dictionary
disclaimer trust — A kind of bypass trust that gives the surviving spouse the option of not splitting the trust after the first spouse s death if it s not necessary to save on estate tax. A surviving spouse may disclaim (decline to accept) some trust property; that … Law dictionary
AB trust — A trust that allows couples to reduce or avoid overall. Each spouse puts property in the AB trust. When the first spouse dies, his or her half of the property goes to the named in the trust commonly, the couple s grown children with the crucial… … Law dictionary
credit shelter trust — see trust Merriam Webster’s Dictionary of Law. Merriam Webster. 1996. credit shelter trust … Law dictionary
exemption trust — A bypass trust funded with an amount no larger than the personal federal estate tax exemption for the year of death. If the trust grantor leaves property worth more than that amount, it usually goes to the surviving spouse. The trust property… … Law dictionary
