Which of the following statements most accurately describes the rights conveyed

Question

Which of the following statements most accurately describes the rights conveyed to a minor under the terms of a trust that give the minor a so-called “Crummy” power?

A. The right to withdraw the corpus at any time during minority.

B. The right to accumulate trust income to age 21 and the right to receive these funds as a distribution of corpus.

C. The right to withdraw limited amounts of the trust corpus for a limited time after a contribution is made to the trust.

D. The right to withdraw the trust’s income for the calendar year without a guardian’s approval.

Provide a detailed explanation. This is estate planning.

Explanation / Answer

C. The right to withdraw limited amounts of the trust corpus for a limited time after a contribution is made to the trust.

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.