Inter Vivos Discretionary Trust


(garytaylor47) #1

Husband and wife have one adult son. Following advice from their accountant they wish to create a Discretionary Trust. They have no grandchildren and they only want their son to benefit from the Trust. A property will be transferred into the Trust and in a few years time it will be appointed out of the Trust to the son.
The question I have is whether a Discretionary Trust can be created with only the one discretionary beneficiary named in the Trust.
There will be provision in the Trust for additional beneficiaries to be added if necessary eg death of son.

Gary Taylor
Progressive Wills Ltd.


(e.muston) #2

you might get away with it on the grounds that there is power to add further beneficiaries, though I would prefer to see a fixed interest but with certain flexibilities for the trustees and some sort of long stop beneficiary. but before you go any further, it might be worth just checking with them or the accountant the reasoning behind the advice. it may be excellent advice or perhaps it just sounded a good idea to the clients out of a number of possibilities they were given.

Elizabeth Muston
Downs Solicitors