A Trust May Be Used to Protect a Spendthrift Child

question 62

True/False

A trust may be used to protect a spendthrift child against his or her own folly and against possible exploitation by others.​

---

Definitions:

Gasoline Tax

A tax imposed by governments on the sale of gasoline, typically used to fund transportation-related projects.

Proportional Tax

A tax system where the tax rate remains constant regardless of the amount subject to tax, resulting in taxpayers paying the same percentage of their income regardless of the income level.

Higher-income Persons

Individuals or households that have an income significantly above the average for a certain society or area.

Taxes

Mandatory financial charges imposed by a government on individuals, businesses, and transactions to fund public expenditures.