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What is an Irrevocable Trust and How Does it Work?

MULTIZ321

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What is an Irrevocable Trust and How Does it Work?


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Richard
 

pedro47

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Richard, Thanks for sharing this article.
 

VacationForever

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What is not mentioned in this article is that irrevocable trusts incur very high income tax rates for computed growth in the portfolio. When I checked a couple of years ago, it was something like 35% tax rate and I nixed the idea.
 

Brett

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What is not mentioned in this article is that irrevocable trusts incur very high income tax rates for computed growth in the portfolio. When I checked a couple of years ago, it was something like 35% tax rate and I nixed the idea.

but most estate planning uses the “grantor trust” form of an irrevocable trust so it's taxed at the beneficiaries tax rate
 

mdurette

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It should also be known that it is very hard to get any type of mortgage or home equity on a house in an Irrevocable trust. Line all that up before you put it into one.
 

VacationForever

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but most estate planning uses the “grantor trust” form of an irrevocable trust so it's taxed at the beneficiaries tax rate
True but I decided not to pursue it none the less. It would have added another level of complexity to our estate planning.
 
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