A trust is a contract between a grantor and a trustee which shields all assets from any federal tax and permits the small business owner to pass on his/her business without tax loss.

Question

Quizplus · Accepted Answer

A trust can provide various tax benefits and help in estate planning, but it does not universally shield all assets from federal tax, nor does it guarantee the ability to pass on a business without any tax implications.

A Trust Is a Contract Between a Grantor and a Trustee