There are many reasons why husbands and wives might want to create trusts that allow their spouses to withdraw income or principal. The most obvious is that allowing access to a trust confers extra financial security on the spouse. But there's a problem: Withdrawal rights can create additional gift tax, estate tax and generation skipping transfer tax.
There are ways to minimize such taxes. One way is to use annual exclusion withdrawal rights in trusts. Trust documents are ty
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