In each of the following variations, Gail creates a trust and names herself as the sole trustee. John is Gails son and Dana is Gails daughter. The terms of the trust vary, but in all cases the income interest is for Gails life and, upon Gails death, the trust terminates and the corpus is distributed to Zoe (unrelated) or Zoes estate. In all cases, Gail predeceases John, Dana, and Zoe. In each of the following variations, please determine whether any or all of the trust corpus will be included in Gails gross estate under 2036(a)(2) and/or 2038.

a. The trust instrument provides that the trustee, in her sole discretion, may distribute trust income to John or Dana in such amounts and proportions as she shall determine. Any income not so distributed shall be added to principal.

b. The trust instrument provides that the net income of the trust shall be distributed to John and Dana in amounts necessary for their support and maintenance. Any income not so distributed shall be added to principal.

c. The trust instrument provides that the net income of the trust is to be distributed on an annual basis to John and Dana in equal shares. As trustee, Gail has the authority to invest the assets in income-producing or non-income producing assets as she sees fit.

d. As trustee, Gail can invade the corpus for the benefit of Zoe.