Question: Can a client escape the grantor trust rules by providing in a trust instrument that income is payable to a nephew for 20 years and

Can a client escape the grantor trust rules by providing in a trust instrument that income is payable to a nephew for 20 years and that the trust assets pass at the end of 20 years to the client’s spouse?

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No because the value of the spouses remainder interest is too large The grantor trust r... View full answer

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