Have client who wants to take 1M out of his 3.5M IRA and give to Charity.

We would form a CRUT and have the 1M go directly to the CRUT. He will receive an income for life and fund a life policy for a legacy to his kids.

Questions:

a. Is there any tax on the 1M IRA amount, which is sent directly to the CRUT?

b. He should receive approx. a 50% 500k tax deduction he could use over 5yrs?

c. does he get taxed on the income from the charitable unit trust each year?

Thank you,
Dougals