Charitable Lead Trust

The Charitable Lead Trust generates income for IHM now, while reducing your tax costs for transferring assets to the next generation. The lead trust holds gift assets for your lifetime or for a term of years, and pays annual income to us. IHM benefits from the assured income stream from the lead trust, while your family enjoys several tax advantages:

• The gift assets placed in the lead trust are frozen in value for transfer-tax purposes as of the date the trust is formed. When the trust terminates and the assets pass to your family, all intervening appreciation will escape gift and estate tax.
• Our income interest further reduces the taxable value of the trust assets when they pass to your family. This feature makes the lead trust especially useful if you are holding assets likely to appreciate significantly before they are transferred to the next generation.

To learn more about Charitable Lead Trusts, Email us, complete the Information Request form, or call us at 831-338-8717 so that we can assist you.