Legal Question in Wills and Trusts in California
Trusts
what is the difference between an ABC trust and a QTIP trust?
Asked on 10/30/07, 7:17 pm
1 Answer from Attorneys
Mitchell Roth
MW Roth, Professional Law Corporation
Re: Trusts
QTIP refers to Qualified Terminal Interest Provision. ABC trust is simply a trust utilized by the very wealthy to use both the spousal exemption and the QTI provision to both prevent any estate tax on the death of the first spouse and still preserve the estate tax exemption of the first spouse.
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Answered on 10/30/07, 8:20 pm