As to tax advantages, while an OAPT is considered to be a grantor trust pursuant to I.R.C. 671 - 678, there are no income or estate tax benefits per se. However, if an OAPT is structured correctly, the trust can be classified as a gift and as such may be kept out of the gross estate of the settlor since the settlor no longer is the legal owner of the trust property. This is a fairly new and evolving area in the law. Settling an OAPT is a worthwhile financial planning strategy to consider for those professionals who have significant personal assets and want to actively take steps to protect these assets from potential creditors, whoever they may be. P.C. This World Wide Web site and the information and materials available through the site are made available only in accordance with certain terms and conditions and provides general Information.
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