answered on Mar 28, 2023
“Heir”: An heir is someone who’s legally entitled to inherit your assets if you die intestate, meaning you pass away without a valid will or trust. Your heirs are people related to you by blood or marriage, like your spouse or children. If you die without an estate plan, your heirs will be... Read more »
Or is the property subject to the tax break the irrevocable trust receives?
answered on Mar 29, 2023
My understanding is that an Irrevocable trust must distribute all income to beneficiaries each year, which makes the trust a pass-through entity. Those beneficiaries pay the taxes on income. However, capital gains are not considered income to irrevocable trusts. Instead, capital gains count as... Read more »
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