Interest in Possession Trust Law and Legal Definition
Interest in possession trust is a common form of trust. It gives the beneficiary an immediate right to income from the trust. A beneficiary is said to have an interest in possession when he has the right to enjoy the trust property. Interest in possession trusts are often created as part of a will. A surviving spouse will be granted a right to the income from the trust by the settlor. Upon the death of the surviving spouse, the rest of the fund may pass to the couple's children or other named persons. Interest in possession trusts are usually used in order to protect capital. Interest in possession can be for a fixed period, indefinite period or for the rest of the beneficiary’s life.
Legal Definition list
- Interest in Land
- Interest in a Closely Held Business [Internal Revenue]
- Interest Factor [Insurance Law]
- Interest Expense
- Interest Compensation [Banks & Banking]
- Interest in Possession Trust
- Interest in Proven Oil or Gas Property [Internal Revenue]
- Interest of Justice
- Interest of the Debtor in Property
- Interest on Lawyer Account (IOLA Account)
- Interest Rate Floor
