A QTIP (Qualified Terminable Interest Property) trust must give the surviving spouse the right to all the income from the trust property for life, ensuring that the spouse is financially supported. This is a key requirement for a trust to qualify as a QTIP under U.S. tax law.

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A QTIP Trust Must

Question 22

Multiple Choice

A QTIP trust must:

A) Be in the form of a testamentary trust
B) Give the surviving spouse the right to all the income from the trust property for life
C) Allow the trustee to use any amount of the trust principal for any purpose
D) Give the surviving spouse a general power of appointment

Correct Answer: