A trust is normally created by a person who would like another person to protect their assets. It can also be used to distribute assets or funds to others.
Trust Expanded Definition
For tax purposes, a trust is considered to be a type of entity, much like a sole proprietor or corporation can be an entity. This entity is separate from the person who creates the trust and can distribute assets or income to beneficiaries.
Last Updated By
Rachel Blakely-Gray | Apr 18, 2023