Petition to Modify Irrevocable Trust
An irrevocable trust is in direct contrast to a revocable trust, in which the creator can modify the terms of the trust. While the creator cannot change an irrevocable trust, it provides the financial benefit of protecting valuable assets, while avoiding certain estate taxes. Typically, these types of trusts are used to protect property, reduce taxes, and protect specific interests of a party, such as a child who may have a disability. An irrevocable trust lawyer can help you set up petition to modify irrevocable trust
Irrevocable Living Trust
This type of trust is created and funded during your lifetime, and is designed to protect your assets and general income, while passing on these assets to designated beneficiaries.
Irrevocable Life Insurance Trust
This type of trust is designed to hold the proceeds of your life insurance policies, so you can avoid certain estate taxes from applying to said policies.
Special Needs Trust
This type of trust is designed to specifically care for the interests of a child with a disability, while protecting federal benefits they are entitled to under the law.
Asset Protection Trust
This type of trust is necessary to protect your assets from certain creditors, in case there is any type of legal judgment against you.
Charitable Remainder Trust
This type of rust allows you to transfer assets in the trust, while continuing to enjoy the income, which is generated from the management of these assets. It also allows for the assets to be passed on to a charitable organization of your choice.
Grantor Retained Income Trust
Like the charitable remainder trust, this type of trust will allow you to pass on the remainder of your assets and property to your trust, while enjoying the proceeds of the investments for some amount of time.
Qualified Personal Residence Trust
This type of trust allows you to transfer your primary or secondary residence to the trust, and essentially freeze the current value of the trust. Therefore, you will be able to avoid any taxes that would apply to any increase in property value.
The Internal Revenue Service (IRS) honors some amendments because they are authorized by the Internal Revenue Code, but the IRS is not required to honor all trust modifications, even when the modification is authorized under California law. Even if the amendment to an irrevocable trust is not tax-motivated, there may be unanticipated tax consequences.
Want to Know Which of These Trusts Would Benefit Your Situation? Call a Lawyer!
Call (800) 662-0882 and speak to an estate-planning attorney at Citadel Law Corporation today. You can expect professional legal advice, and a prompt response to all of your queries.
