Wyoming is considered an innovator in trusts and estates law. The state has emerged as a preeminent trust jurisdiction in the U.S., having adopted an enhanced version of the Uniform Trust Code.
Some of these benefits include:
- Favorable Tax Laws — Residents are not required to pay state: income, capital gains, corporate, estate or gift taxes. Additionally, Wyoming has some of the lowest tax rates on insurance premiums compared to other U.S. states. These innovative tax benefits extend to income accumulated in an irrevocable trust, even to non-residents.
- Sound Government and Skilled Judicial System — In addition to a fiscally responsible state government, the state judiciary has a reputation for being expeditious, effective, and experienced with high-net-worth families and individuals. The Wyoming state legislature has a longstanding track record of friendliness to businesses and trusts, and against regulatory requirements.
- Strong Privacy Protections — Wyoming has strong privacy laws — trust agreements are not required to be registered. All information (e.g. the names of grantors, beneficiaries, and information regarding assets and estate plans) are kept private.
- Directed Trusts — These trusts allow the duty of the trustee to be separated from the investment advisor.
- Qualified Spendthrift Trusts — These self-settled trusts afford immediate statutory protection against creditors, putting Wyoming among the most progressive trust jurisdictions in this regard.
Trust Protectors, Trust Advisors, and Special Purpose Entities:
- Purpose Trusts – which allow for the support of a specific purpose, such as a charity or a pet.
- Private Family Trust Companies – allowing direct family involvement in the investment of the trust assets.
- LLCs and other Corporate Structures – rapid formation of LLCs and other business entities allowing for significant flexibility and control.
- Flexible Trust Modification – and numerous other benefits allowing flexibility and protection in innovative trust structures.
Click link below to download “The Wyoming Series LLC Memo”