Legal Question in Wills and Trusts in Virginia

Re: Living Trust Differences

The difference is very, very simple: You can

change a revocable living trust after you create

it, including modifying it or canceling it

completely. Once the creator ("grantor" or

"settlor") dies, it becomes irrevocable.

You cannot change an irrevocable living trust

once it is created.

However, the consequences can be complex. A

revocable living trust may be taxed differently

for estate taxes than an irrevocable living trust. A revocable trust may be counted in your

estate because you can get the money back.

I would advise talking to a tax adviser.

Legally, the main difference is that you might

change your mind.

However, from a tax perspective their can be

many different tax issues.