The "Henson" type trust aims to allow a vulnerable person to maintain their social assistance benefits while benefiting from the income from a trust.

This testament should allow the trustee to use discretionary funds for the benefit of a person with a disability, and the beneficiary cannot force the trustee to give them money. The "Henson" type trust allows you to leave your assets to a vulnerable person while still allowing them to receive government financial aid.

This type of trust may be subject to progressive tax rates if it meets the conditions set by Revenu Québec regarding eligible trusts for disabled persons (FAPH), including the following conditions:

• It is a testamentary trust established upon the death of an individual.
• It resides in Canada during the year of the trust.
• Each of its "opting beneficiaries" meets the following conditions:
• They are an individual named as a beneficiary in the deed establishing the trust.
• They have not jointly chosen, with another trust, for the taxation year of that other trust ending in the beneficiary's taxation year, to treat that other trust as a FAPH.
• The trust has not paid or distributed capital sums to a beneficiary who is not an "opting beneficiary."

Furthermore, this trust complements the Registered Disability Savings Plan (RDSP), which allows for investments of up to $200,000.00 for the benefit of a person with a disability.

We invite you to consult a member of the Notaire-Direct team as the validity of this strategy relies on a specific and adequate drafting of the will to prevent a vulnerable person from losing their benefits!