When property is held or to be held in a trust which is or would otherwise be partially exempted from the GST due to the allocation to such trust of a GST exemption, a fiduciary is authorized, but not required, to divide the trust into two separate trusts, of equal or unequal value, in order to create one trust entirely exempt from the GST and a second trust entirely subject to the GST. Other terms and provisions of both trusts will remain substantially identical in all respects to the original trust.
Structure Code of Alabama
Title 19 - Fiduciaries and Trusts.
Chapter 5 - Preclusion or Minimization of Generation-Skipping Tax.
Section 19-5-2 - Allocation of GST Exemption.
Section 19-5-7 - Allocation of Distributions From Separate Trusts.
Section 19-5-8 - Purpose of Chapter.
Section 19-5-9 - Exercise of Authority by Fiduciary.
Section 19-5-10 - Fiduciary Not Liable for Acts in Good Faith.
Section 19-5-11 - Applicability of Chapter.
Section 19-5-12 - Chapter Effective as to Transfers in Trust, etc., on and After January 1, 1987.