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Discretionary trusts

   Also found in: Dictionary/thesaurus, Financial, Wikipedia 0.01 sec.

DISCRETIONARY TRUSTS. Those which cannot be duly administered without the application of a certain degree of prudence and judgment; as when a fund is given to trustees to be distributed in certain charities to be selected by the trustees.



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Similarly, total discretionary trusts provide needed protection when an individual cannot hold onto money or has an addiction.
Detailed consideration will be required for each case, but discretionary trusts may still be appropriate where there is property which qualifies for business or agricultural property relief, where there is concern about long term care or where it is anticipated that an asset might appreciate in value faster then the nil rate band.
Nil-rate band discretionary trusts and lifetime gifts can help reduce this.
 
 
 
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