discretionary trust Antonyms
No Synonyms and anytonyms found
Meaning of discretionary trust
discretionary trust (n)
a trust that gives the trustee discretion to pay the beneficiary as much of the trust income as the trustee believes appropriate
discretionary trust Sentence Examples
- A discretionary trust is set up to hold assets on behalf of beneficiaries, giving the trustee the power to distribute income and capital at their discretion.
- Discretionary trusts can be created for a variety of purposes, including tax planning, asset protection, and estate planning.
- The terms of a discretionary trust are set out in the trust deed, which is a legal document that governs how the trust is administered.
- The settlor of a discretionary trust is the person who establishes the trust and transfers assets into it.
- The trustee of a discretionary trust is the person who is responsible for managing the trust assets and making decisions about how they are distributed.
- The beneficiaries of a discretionary trust are the people who are entitled to receive the income and capital of the trust.
- Discretionary trusts can last for a period of time specified in the trust deed, or they can be perpetual, meaning they can continue indefinitely.
- The assets held in a discretionary trust are not subject to income tax, but the beneficiaries may be liable to pay income tax on any distributions they receive.
- Discretionary trusts can be a useful tool for wealth management, but they can also be complex and expensive to administer.
- It is important to seek professional advice from a lawyer or accountant before setting up a discretionary trust.
FAQs About the word discretionary trust
a trust that gives the trustee discretion to pay the beneficiary as much of the trust income as the trustee believes appropriate
No synonyms found.
No antonyms found.
A discretionary trust is set up to hold assets on behalf of beneficiaries, giving the trustee the power to distribute income and capital at their discretion.
Discretionary trusts can be created for a variety of purposes, including tax planning, asset protection, and estate planning.
The terms of a discretionary trust are set out in the trust deed, which is a legal document that governs how the trust is administered.
The settlor of a discretionary trust is the person who establishes the trust and transfers assets into it.
