Credit shelter trust

{
  "id": "MLC-T-LAW-005326",
  "term": "Credit shelter trust",
  "field": "Law",
  "definition": "A type of irrevocable trust established by a married couple to hold assets up to the federal estate tax exemption amount of the first spouse to die. This trust prevents those assets from being included in the surviving spouse's taxable estate, thereby reducing or eliminating estate taxes upon the second spouse's death. The surviving spouse can often receive income from the trust and, in some cases, principal distributions.",
  "url": "https://mlchart.com/terminology/law/credit-shelter-trust/"
}