If a bypass trust systematically distributes all of the trust 's income into the hands and estate of a spouse who is over the Federal estate tax exemption already or who crosses over the exemption because of those distributions , those distributions may be subject to lower income tax rates, but will ultimately face a .
Related posts to bypass trust taxes
How many years will it take your kids to save $100,000 after taxes? For those readers who are married and have an estate of $2 million or more, a bypass trust can save the ones you love at least $100,000 in estate taxes..
An estate-planning device used to pass down assets after 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 parent's..
What is a Bypass Trust? Please remember that this answer is provided in the spirit of public education, not as legal advice. If you require legal advice for a particular situation, you should consult an attorney..
Bryan Strike, CFP, CPA/PFS has a great article in the latest issue of the Journal of Financial Planning entitled, "Should Planners Bypass the Bypass Trust?".