What Is A Private Annuity Trust?

Video Transcription:

What is a private annuity trust? A private annuity trust is, again, a state tax savings technique in most cases. I would transfer assets to a trust and receive back from the trust an annuity. Typically, it could be for years, but typically it’s for my life. So, I could transfer a million dollars to a trust, but there’s a contract where the trust promises to pay me $50,000 a year or $60,000 a year. I can adjust that, for the rest of my life. From that, I’m going to get, often times, an income tax deduction and also it’s going to permit assets to pass on eventually to my family free of tax. Have more questions? Then contact us today to schedule a free consultation! Doane & DoaneTop rated Tax & Estate Planning Attorneys