A type of trust used by married couples to utilize both spouses’ unified credit exemption (or applicable exclusion amount).  With this type of trust, two trusts (trust A and trust B) are created at the time the first spouse dies.  By dividing the couple’s estate into two trusts at the first death, each spouse can pass the maximum amount of property allowed to avoid federal estate taxes.  One trust, usually trust A, is often referred to as the marital deduction trust and the other trust, usually trust B, is often referred to as the credit shelter trust.
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