Which of the following statements are correct regarding a bypass trust?

It will allow the estate of the grantors spouse to use his or her applicable credit amount.

It will allow the estate of the grantors spouse to take a marital deduction for these assets.

It will allow the grantors spouse to pay income tax only on trust distributions that are actually distributed to him or her.

It will allow the estate of the grantors spouse to avoid estate tax on any trust assets at his or her death.

II only

I and III only

II and IV only

III and IV only