A [wex:trust] that qualifies for the [wex:marital deduction]. A qualified terminable interest property trust ("[wex:QTIP trust]") allows a spouse to give a [wex:life estate] in property to his or her spouse without incurring the [wex:federal gift tax]. The donee (recipient) spouse has an income interest in the trust and does not have a [wex:power of appointment] over the [wex:principal]. Upon the donor spouse's death, the principal is included in his or her estate for [wex:estate tax] purposes.
[wex:Qualified domestic trust]
[wex:Estates and trusts]