Which is explicitly excluded from being a lifetime trust?

• A. A trust for the sole purpose of paying dividends, interest, salaries or pensions
• B. An investment trust
• C. A voting trust
• D. A trust created in deposits in a bank

Answer: (A)

A lifetime trust is an arrangement where assets are held and managed for the beneficiary over a period that extends through the beneficiary’s life, with a continuing interest in the trust corpus. If a trust exists solely for paying out dividends, interest, salaries, or pensions, there’s no lasting ownership or ongoing management of property for the beneficiary’s life—the arrangement is just an income conduit. A true lifetime trust requires an ongoing interest in the principal and the ability to manage or preserve assets over time, not merely to dispense income.

The other forms listed—an investment trust, a voting trust, or a trust created in deposits in a bank—are typical trust structures that can be designed to endure for a lifetime, involving ongoing asset management or control for the beneficiary.