The BDIT – Realize estate planning benefits while retaining control

Description

Abstract: After spending a lifetime building one’s net worth, it’s normal to not want to give up control of property, as is required for certain estate and asset protection strategies. A relatively new trust — the beneficiary defective inheritor’s trust (BDIT) — avoids this drawback. This article describes how a BDIT accomplishes this, and how it’s structured to be intentionally “income tax defective,” making it possible to produce significant estate planning benefits.