A grantor retained annuity trust (commonly referred to by the acronym GRAT), is a financial instrument commonly used in the United States to make large financial gifts to family members without paying a U.S. gift tax.
Read more about Grantor Retained Annuity Trust: Basic Mechanism, Important Legal Cases, Patents
Famous quotes containing the words retained and/or trust:
“Those of us who were brought up as Christians and have lost our faith have retained the sense of sin without the saving belief in redemption. This poisons our thought and so paralyses us in action.”
—Cyril Connolly (1903–1974)
“We must trust infinitely to the beneficent necessity which shines through all laws. Human nature expresses itself in them as characteristically as in statues, or songs, or railroads, and an abstract of the codes of nations would be an abstract of the common conscience.”
—Ralph Waldo Emerson (1803–1882)