First Advantage Background Check > The confident aspects of an intentionally defective grantor trust ("IDGT") are well knownirst, the grantor's payment of the trust's income taxes is essentially a tax-free gift to the beneficiaries of the trustevul004-64hus, the assets in the trust grow "tax free"econd, by paying the income taxes, the grantor is reducing his/her estate by the taxes paid and any future appreciation that would otherwise have been generated on the cash used to pay income taxeshird, the grantor can sell assets to an IDGT (on installments) without any gain or loss recognitionales between a grantor and a grantor trust are disregarded for income tax purposesevul5-13ourth, a sale to an IDGT of a life insurance policy on the grantor's life can avoid both the three-year rule and the transfer-for-value ruleevul007-13ifth, an IDGT qualifies as an eligible S corporation shareholderRC Section 1361(c)(2)(A)(i)ut, at such time as the IDGT is no l ... [Read More > First Advantage Background Check]
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