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grantor trust
(redirected from Grantor Trusts)

   Also found in: Financial 0.01 sec.
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Noun1.grantor trust - a trust established to shift the income to someone who is taxed at a lower rate than the grantor for a period of 10 years or more
trust - something (as property) held by one party (the trustee) for the benefit of another (the beneficiary); "he is the beneficiary of a generous trust set up by his father"


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April 13 /PRNewswire/ -- Join the nation's leading Grantor Trust experts as they discuss the use of installment sales to grantor trusts, installment sales to non-grantor trusts, and private annuity sales to grantor trusts.
This theory has spawned myriad situations in which taxpayers have used this theory to their advantage, including the use of intentionally defective grantor trusts to sell appreciated assets to grantor trusts without recognizing any gain.
Allowable shareholders under IRC [section] 1361 are individuals, estates, certain exempt organizations and certain trusts: grantor trusts, pre-mortem grantor trusts for two years after the grantor's death, postmortem trusts that receive stock under a will (but only for two years following the transfer), voting trusts and "electing small business trusts.
 
 
 
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