This type of charitable trust pays income to one or more charitable organizations, such as Legal Services of North Florida, typically for a period of years, and then the remaining assets of the trust pass to non-charitable beneficiaries, such as family members. Based upon the circumstances, the type of property used and the intended beneficiaries, lead trusts can have significant estate and gift tax benefits and can be used in a wide variety of ways. It usually does not provide a current income tax deduction, depending on whether the donor wishes to be taxed on the trust's income, but it can effectively pass property to family members at reduced estate and gift tax costs.

Clearly, there are many issues to consider, both legal and personal, when considering the establishment of a charitable lead trust. In the end, you may find that such a trust represents one of the best ways to help LSNF while planning a deferred transfer of assets to children.