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Trusts: Taxation of Trusts and Beneficiaries
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What is a trust?
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A
A legal entity created by a settlor to hold and manage assets for the benefit of one or more beneficiaries.
💡 Explanation:
A trust is a legal entity created by a settlor to hold and manage assets for the benefit of one or more beneficiaries. The settlor transfers ownership of the assets to the trust, and the trustee manages the assets and distributes them to the beneficiaries according to the terms of the trust.