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Estate PlanningID: kb-est-038

Charitable Lead Trust

Trust providing income to charity with remainder to beneficiaries.

Added: February 22, 2026
Applicable: US

Detailed Explanation

A Charitable Lead Trust (CLT) is the inverse of a CRT. It pays an income stream to a charity for a set term, after which the remaining assets pass to the grantor's beneficiaries (usually family). It is an effective tool for reducing gift and estate taxes while supporting philanthropic goals.

Tags

#charity#tax planning#inheritance#trust

Applicable Countries