What is an inheritance trust?

An inheritance trust is a legal document that can be used by individuals in Arkansas to plan for the distribution of their estate during their lifetime and after their death. It is a type of trust that enables individuals to control how and when their estate will be distributed to their desired beneficiaries. By using an inheritance trust, individuals can ensure that their assets remain in the trust until the beneficiaries reach an age or stage of maturity or financial responsibility that they deem appropriate. As the creator of the trust, they can also ensure that their estate is distributed in accordance with their wishes, even if their beneficiaries have not reached the age or stage of financial stability that they intended. An inheritance trust can also help individuals to reduce their tax liability on the transfer of their estate. By transferring their estate to the trust, individuals can avoid the federal and state estate taxes that would normally be due. In addition, an inheritance trust can also help individuals to protect their estate from creditors or lawsuits, as the assets that are transferred to the trust are no longer considered part of the estate of the deceased.

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What is an inheritance trust?

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