A Bypass Trust is a trust designed to hold assets of the deceased spouse having a total value equal to (or not exceeding) the Tax Free Amount. The surviving spouse or any other qualified person or entity may serve as trustee of a suitably drafted Bypass Trust. Under the terms of a typical Bypass Trust, distributions can be made to the surviving spouse to provide for his or her health, support and maintenance in accordance with his or her accustomed standard of living. A Bypass Trust can be drafted to allow distributions to be made to children and other descendants as "secondary" beneficiaries while the surviving spouse is living. Those secondary beneficiaries are often in lower tax brackets than the trust itself and the surviving spouse. Thus, including a power to make distributions from the Bypass Trust to children and grandchildren sets up the possibility of trust income being taxed at very low rates. When trust income is distributed out of the trust to a permissible beneficiary, the beneficiary pays income tax on the distributed income, not the trust. The surviving spouse is sometimes given a testamentary"power of appointment" (described below) over the Bypass Trust. In spite of the fact that the surviving spouse has use of the trust assets during his or her lifetime (and may be given control over the disposition of the property at death), the assets in a properly drafted and administered Bypass Trust will not be taxed in the surviving spouse's estate at the time of that spouse's death–no matter what those assets are worth at that time and no matter what the estate tax exemption amount is at that time. The Bypass Trust terminates upon the death of the surviving spouse or, if later, the date when the youngest child reaches a designated age.