Which acronym stands for Domestic Irrevocable Non-Grantor trust?

• A. Revocable Living Trust
• B. DING - Domestic Irrevocable Non-Grantor trust
• C. Charitable Lead Trust
• D. Irrevocable Life Insurance Trust

Answer: (B)

DING stands for Domestic Irrevocable Non-Grantor trust. This means the trust is created in the United States, cannot be revoked or altered by the person who funded it, and is treated as its own separate tax entity. Because it’s non-grantor, the trust itself pays taxes on any undistributed income, while distributions to beneficiaries have their own tax consequences. This contrasts with a revocable living trust, which is usually a grantor trust for tax purposes and doesn’t create a separate tax entity for the grantor. Charitable Lead Trust and Irrevocable Life Insurance Trust are different specialized trust types with other purposes, so they don’t describe the general Domestic Irrevocable Non-Grantor category.