Alabama § 19-5-3 Division of Trust to Which Gst Exemption Allocated into Separate Trusts for Exempt and Nonexempt Property

Alabama Statutes

§ 19-5-3 — Division of Trust to Which Gst Exemption Allocated into Separate Trusts for Exempt and Nonexempt Property

Alabama § 19-5-3

Title 19Fiduciaries and Trusts

Ch. 5Preclusion or Minimization of Generation-Skipping Tax

This text of Alabama § 19-5-3 (Division of Trust to Which Gst Exemption Allocated into Separate Trusts for Exempt and Nonexempt Property) is published on Counsel Stack Legal Research, covering Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ala. Code § 19-5-3 (2026).

Text

When property is held or to be held in a trust which is or would otherwise be partially exempted from the GST due to the allocation to such trust of a GST exemption, a fiduciary is authorized, but not required, to divide the trust into two separate trusts, of equal or unequal value, in order to create one trust entirely exempt from the GST and a second trust entirely subject to the GST. Other terms and provisions of both trusts will remain substantially identical in all respects to the original trust.

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When property is held or to be held in a trust which is or would otherwise be partially exempted from the GST due to the allocation to such trust of a GST exemption, a fiduciary is authorized, but not required, to divide the trust into two separate trusts, of equal or unequal value, in order to create one trust entirely exempt from the GST and a second trust entirely subject to the GST. Other terms and provisions of both trusts will remain substantially identical in all respects to the original trust.