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Can trustee be a beneficiary in a land trust?

In: Estates, Deeds and Ownership [Edit categories]

Answer:

A person should not be the sole trustee and the sole beneficiary. That arrangement may not constitute a valid trust and the trust property would be vulnerable to creditors and taxes.

Trust law is one of the most complex areas of law. Many trusts drafted by lawyers are invalid. More trusts drafted by non-legal-professionals (such as accountants) or created by fill-in forms (purchased online) are invalid. You should always have a trust drafted by a local attorney who specializes in trust and tax law in your jurisdiction and who has a good reputation.

The short answer is yes, but you would never want to do this. In a Land Trust situation you would be giving up the anonymity benefits AND a judge reviewing the trust would invalidate it because of a "merging of interests" between the Trustee and Beneficiary.

Randy Hughes

First answer by Kluss. Last edit by Randyhughes. Contributor trust: 0 [recommend contributor ]. Question popularity: 2 [recommend question].

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