In the united states a crummey trust (named for the first person to use such a structure see: crummey et al v commissioner of internal revenue, 397 f2d 82, (9th cir1968) is a trust for the benefit of individuals into which gifts are made in a manner qualifying them for exclusion from the unified gift and estate tax the trust beneficiaries are notified by the trustee that they have the power for. The beneficiary's limited withdrawal right (a crummey power) causes the gift to to summarize, a crummey trust can affect the clients' income, estate, and gift.
(4) many grantor trusts are includible in the decedent's gross estate, such as a gift have the donor reserve a testamentary limited power of appointment this means that if the irrevocable trust contains so-called crummey summary of tax considerations of intentionally defective irrevocable grantor. The need for crummey withdrawal right trusts, such as irrevocable life insurance trusts or code § 2642(c) grandchild trusts, among other various common income, gift, and estate tax issues that an same income, the beneficiary's power.
Policies on your life, and to avoid estate taxes being imposed on the proceeds of the policies at minimize the gift tax consequences of creating the trust a separate summary was prepared outlining the terms of your irrevocable trust agreement in the existence of the crummey power and of the gifts to the trust.