-7- administered and distributed as provided elsewhere in this agreement. * * * B. Termination of Trust. Except as otherwise provided in this agreement, at the end of the Annuity Term, Trustee shall distribute the remaining net income, if any, and principal of the trust not required to be paid out in satisfaction of the final Annuity payment, as provided in Article Six below. C. Annual Payment, Additional Contributions, Etc. During the Annuity Term and until the final Annuity payment has been made, the following provisions will apply with respect to the trust estate: 1. Trustee shall distribute the Annuity in at least one annual payment at the end of each taxable year, except for the taxable year in which the Annuity Term ends, when that payment will be made by the end of the Annuity Term. If Trustee deems it to be desirable, Trustee may pay less than the full Annuity during any taxable year, but Trustee must pay any unpaid amount no later than the due date for filing the trust’s income tax return for that taxable year, without regard to extensions. In addition, Trustee may, in its sole and absolute discretion, distribute all or a portion of the Annuity in monthly, quarterly, semi-annual installments or at any other time the Trustee deems appropriate, subject to the time limitations of the prior sentence. * * * * * * * D. Qualified Annuity Interest. I intend that my retained annuity interest in this trust (and the annuity interest of my wife[1] if she survives me and receives the Annuity under paragraph E below) be a “qualified annuity interest” as defined in Code section 2702(b)(1) and Treasury Regulation Section 25.2702-3(b) and (d). All provisions of this agreement are to be interpreted accordingly and any provision of this agreement inconsistent with that intention is to be of no effect. In furtherance of this intention, I specifically empower Trustee to amend this trust during the Annuity Term for the sole purpose of complying with the requirements of the foregoing Code section and Treasury Regulations, and any such amendment will apply retroactively to the inception of the trust. No power, right, or duty under this agreement will be effectivePage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011