Best States for Trusts

Most states impose a tax on trust income between 3% and 12%.  These seven states do not:

• Alaska  
• Florida   
• Nevada    
• South Dakota   
• Texas   
• Washington   
• Wyoming

To avoid taxes on accumulated ordinary income and capital gains, locate a trust in one of these states.  In some states, this is as simple as naming a trustee in one of these seven states.  In other states, this may be impossible.

See Jim Combs, The Best States for Client Trusts, Wealth Management, Feb. 24, 2014.