| Type of private family trust | Purpose | Tax liability on | Tax rate |
| Revocable Trust (RT) | Trust which can be cancelled by the settlor at any time.
RT does not protect any asset. The settlor continues to retain ownership of the assets | Settlor | As per income tax slab rates |
| Irrevocable Non-Discretionary Trust | The trust will continue until the purpose for which it was created is fulfilled.
Assets in the trust cannot be withdrawn. The settlor determines the asset distribution and its proportion to each beneficiary. | Trustees in their representative capacity as per section 164 of |
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Web page updated on 17 Mar 2025 14:19