Are wills and trusts taxed differently?
August 15, 2011
From: Ellen
Date: Thu, 11 Nov 2010
My husband and I have wills where we are each other's beneficiary. Beyond this, our children get everything 50:50 in a trust.
Will the children have to pay more taxes because the money is in trust than they would if we had a traditional will?
Thank you for your help, Ellen
Answer
Date: 3 Dec 2010
Hello Ellen,
No. The income tax returns for the trust and a will are very similar.
Hopefully you have consulted with an attorney to get estate planning advice for your individual situation.
Good luck!
Mike Gray
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