501(c)(9) Trust
Section 501(c)(9) trusts, or voluntary employees' beneficiary associations (VEBA's) are tax-exempt trusts designed within prescribed guidelines to provide for the payment of life, sick, accident, or other welfare benefits to employees or their dependents or designated beneficiaries. Advantages include; tax free accumulation of funds for VEBA benefits and a deduction for employer contributions that are not taxable to the employee at the time of contribution.
