564. Qualifying trusts: disabled persons and minors.

Where property is held on trusts1 for the benefit of a disabled person2, those trusts are qualifying trusts3 if they secure that, during the lifetime4 of the disabled person or until the termination of the trusts (if that occurs before his death):

  1.  

    (1)     any property applied for the benefit of a beneficiary is applied for the benefit of the disabled person; and

  2.  

    (2)     either the disabled person is entitled to all the income (if there is any) arising from any of the property or, if any such income is applied for the benefit of a beneficiary, it is applied