Situation:

Normal QTIP Trust, where the surviving spouse is the trustee.  The surviving spouse did not originally disclaim this property and the period for disclaiming has passed.  The trustee would now like to gift the QTIP trusts assets (actually there is an exempt and non-exempt trust) to the remaindermen.

Question:

Can this be done?  If so, I know that this trust will ordinarily be included in the surviving spouse's estate.  I would also think that Uncle Sam may have a problem of taking out the annual exclusion of $12,000 per remainderman.