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Quick Answer. A residuary trust, also known as a B-trust, is the second part of a two trust arrangement that is created for the benefit of the trustor's spouse, states InvesterWords. This trust fund is not considered part of there estate, and is therefore not taxable to the trustor or the surviving spouse. Continue Reading
A revocable trust is a legal arrangement whereby a grantor transfers property to a trustee who holds the property in trust for the grantorâs benefit.his type of agreement provides flexibility and income to the living grantor; he or she is able to adjust the provisions of the trust and earn income, all the while knowing that the estate will be transferred upon death. RELATED TERMS.