Can you Bail Out a Charitable Lead Trust That Is Under Water?
Author: Elisa Shevlin Rizzo, Esq..
Source: Volume 09, Number 05, July/August 2010 , pp.3-4(2)
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Abstract:
A charitable lead trust (CLT) is generally considered a “success” if the assets transferred to the trust appreciate during the trust term at a rate that beats the IRC §7520 rate in effect at the time the gift was made. If the trust’s rate of return exceeds the hurdle rate, at the end of the trust term, the remainder beneficiaries will receive the gifted property and any appreciation thereon.Keywords:
Affiliations:
1: Fiduciary Trust Company International.