❗️The beneficial ownership test determines ownership and control of assets in a trust.
🔍There are five tests to determine beneficial ownership in trusts, including trustee authority and beneficiary rights.
📜Trustees and beneficiaries with control over trust assets are considered beneficial owners.
🏦Marital and gifting trusts have specific considerations for beneficial ownership.
🔒Grantors with the ability to revoke or withdraw assets from the trust may be treated as beneficial owners.
What is the beneficial ownership test?
—The beneficial ownership test determines ownership and control of assets in a trust based on trustee authority and beneficiary rights.
Who are considered beneficial owners in a trust?
—Trustees and beneficiaries with control over trust assets are considered beneficial owners.
Are there specific considerations for marital trusts?
—Marital trusts have single beneficiaries and surviving spouses may be treated as beneficial owners.
What about gifting trusts?
—In gifting trusts, beneficiaries with the ability to demand distributions or withdraw assets may be treated as beneficial owners.
What role do grantors play in the beneficial ownership test?
—Grantors with the ability to revoke or withdraw assets from the trust may be treated as beneficial owners.
00:00The beneficial ownership test determines ownership and control of assets in a trust.
00:15Five tests are used to determine beneficial ownership in trusts.
00:35Trustees and beneficiaries with control over trust assets are considered beneficial owners.
01:14Marital trusts have special considerations for beneficial ownership.
01:56Gifting trusts involve beneficiaries with the ability to demand distributions or withdraw assets.
03:07Grantors with the ability to revoke or withdraw assets from the trust may be treated as beneficial owners.
