Building a barn - without a house

[soloudinhere]

@Guilherme

This does presume the donor of the gift styles it that way. But that can annoy other beneficiaries of the trust if they don’t get gifts, too. And the IRS can challenge the category of income and re-categorize it if they find it in error. The odds of this are small at the $15,000 level. But “small” is not zero.

If your trustee is getting sound advice from the trust’s lawyer they you are probably OK. If not…?

G.

The lawyer has advised them to do it this way.

[Guilherme]

@soloudinhere

The lawyer has advised them to do it this way.

Then you’ve started right.

G.