Hello,
Thanks for using JA. I have read your statement above. What is your question so we can assist?
Thanks.
MAtt
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What this is trying to say is that if the Testator owns property in joint tenancy with someone else that the property will transfer to them upon his death. Additionally, that any named beneficiary will get the gifts that the Testator has left them.
This language is not necessary since under the terms of joint tenancy, it automatically transfers at death without any further direction needed and according to probate law the Executor of the will is legally obligated to transfer any named assets to any named beneficiaries after paying all debts of the estate.
Apparently the person wanted to be really sure the assets would transfer and did not trust that it would do so naturally under the law so they reiterated what would legally happen anyway.
Matt
The spouse would still have the right to the income or earnings from the QTIP trust. The assets in the trust would then automatically transfer to the named beneficiaries upon the remaining spouse's death.
1 more question please????
can a co- trustee hold back the income designated to a spouse in a qtip trust even if the
income beneicisary the spouse is also a trustee
No, the whole purpose for the QTIP trust is so that the surviving spouse gets all the income or earnings. The trust must last for the surviving spouse's lifetime and the spouse must receive all of the income or earnings from the trust (interest, dividends, and net rents). Any capital gains from the sale of estate assets may be kept in the trust and the capital gains tax paid by the trust.
In addition, no one other than the surviving spouse may receive any payments from this type of trust until the surviving spouse dies. The principal of the trust may be invaded for the surviving spouse's health, support, maintenance, and education, if the trust contains provisions allowing this. It is not necessary that the trust allow the principal to be used.
The only legal requirement is that the spouse receives all of the income from the trust for his or her lifetime.
Attorney
9 years experience in real estate, estate planning, and criminal law