IRS Helps Practitioners with Charitable Remainder Unitrusts Forms

Updating its forms from 15 years ago, the IRS has issued sample charitable remainder unitrust forms for use by practitioners in drafting effective split-interest charitable trusts. Generally, a charitable remainder unitrust is a trust that provides for the payment of a fixed percentage of a trusts assets on an annual or more frequent basis to one or more individuals, followed by the transfer of the remaining trust assets to one or more qualified "charitable" organizations. It allows taxpayers to enjoy the income/cash flow from assets while stil obtaining valuable tax benefits due to its charitable nature.

The particular trusts provided are:

-inter vivos and testamentary trusts for one measuring life
-inter vivos and testamentary trusts for term of years
-inter vivos and testamentary trusts for 2 measuring lives
-inter vivos and testamentary trusts for 2 measuring lives

Rev. Procs. 2005-54 through -59.