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criser, after re-reading your answer regarding insurance trusts and taxes, I have an additional question. You state that income from a grantor trust is taxable to the grantor. Therefore, should I include this income (such as interest on a checking account, which is set up in the name of the trust for the purpose of paying premiums on the insurance policies)in my personal tax return? If this is the only income to the trust, do I need to file a tax return for the trust ?

Chris, thanks for your help (and indulgence).

vlperk

p.s. I noted your warning regarding "hoops to jump through", "Crummey powers", etc. as they relate to insurance trusts. I am aware of these, but I appreciate your warning anyway.
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