A sri annai kannika sociaal trust is a type of trust that is set up to benefit a charitable organization or cause. It is designed to hold and manage assets for purposes that are considered charitable, such as education, health care, poverty relief, or other social goods. Charitable trusts provide tax advantages for the person creating the trust, known as the “grantor,” because donations to the trust may be eligible for tax deductions.
A trust can be used to protect beneficiaries from poor financial decisions or external threats. For example, a spendthrift trust restricts a beneficiary’s ability to access trust funds directly, helping to protect the assets from misuse or creditors.
A trust allows the grantor to set specific terms for how assets should be distributed, including when and how beneficiaries receive their inheritance. This can be particularly useful for minor children, heirs with special needs, or situations where the grantor wants to ensure certain conditions are met before assets are given out.
