Trusts

Trusts are estate planning tools which are set up for both tax and non-tax purposes.

Tax purposes include:

• income splitting among family members;
• multiplying the capital gains exemption from the sale of an active business;
• freeze an owner’s future gain in a business by allocating it to a trust.

Non-tax purposes of trusts include:

• To create a structure for the management of property in the event of the owner’s incapacity;
• To provide creditor protection;
• To protect property from Family Law Act claims of spouses and children;
• To maintain control of a family business while allowing family members to benefit from future gains in the business;
• To provide for disabled beneficiaries while protecting entitlement to social assistance;
• To provide for an individual who lacks capacity to manage property because of age, immaturity, disability or other inability;
• To provide a life interest to one or more individuals while ultimately benefitting others , such as a life interest in a home; and
• To avoid the probate process and/or estate administration taxes.

Many estate plans concentrate on taking the probate process out of the equation to the best possible extent, including through the use of trusts. An experienced lawyer can guide you through the complex laws, tools and methods available for your particular situation.

At SBMB Law – our Richmond Hill lawyers have extensive experience in dealing with Trusts. Call us at 905-884-9242 and let us help you set up a Trust.