25 May Trust, Gifting and Asset Protection – Annual Gifting
Posted at 23:56h
in Auckland law firm LEGAL TIP of the Week
Ian Mellett
When I set up a client’s trust, I spend our initial meeting explaining the Family Trust as a legal entity and an asset protection vehicle. During this meeting, I provide a detailed yet pragmatic and down to earth description of the various legal documents associated with the establishment and ongoing management of the family trust. In addition, we take this opportunity to discuss the appropriateness of this entity for your particular set of circumstances.
Trust Gifting is an area I cover during this session as people often believe that once they have completed their first Gifting that they either do not have to gift anymore, or that their gifting will happen automatically. Both of these scenarios are incorrect. Why do you need to perform your gifting annually?
It is important to remember that if a credit balance is owed to you by the Family Trust, you need to keep your annual gifting program in place until this balance is eliminated.
Your professional legal advisor is able to assist you with this annual gifting process.
For more information on Family Trusts, Asset Protection and Gifting please contact myself, Ian Mellett at Auckland law firm, Quay Law.