Bridgeford Trust Company, LLC (Bridgeford Trust Company) and Delta Trust Company of South Dakota, Inc. (Delta Trust Company), both South Dakota chartered independent trust companies, are proud and excited to announce a merger, pending South Dakota Division of Banking approval.
Trusts & Estates Magazine again names South Dakota as a top tier trust jurisdiction. Annually, Trusts & Estates Magazine evaluates trust jurisdictions utilizing an objective approach that considers the following factors: 1) whether a state has a Rule Against Perpetuities; 2) whether a state has income, inheritance, or premium taxes; 3) whether the state has adopted “modern trust laws” such as decanting provisions, directed trust capability, and privacy options; 4) whether a state has an asset protection statute and the effectiveness of the statute; 5) the effect of migration on the rights of beneficial interest.
South Dakota is once again ranked, for the 5th consecutive year, as having the top decanting statute in the nation! Published by Nevada attorney Steve Oshins, the new 5th Annual Trust Decanting State Rankings Chart is an excellent resource for advisors and clients because of his methodical and objective approach to evaluating the factors that impact the viability of a state’s decanting statute. The concept of decanting has become a very powerful tool for planners to modify irrevocable trusts and has emerged as one of the most progressive planning strategies available in dealing with dynasty planning issues. Appropriately referred to as a “do over,” decanting essentially distributes assets from an irrevocable trust into a new trust with different, and presumably more desirable and flexible terms, leaving the unwanted terms in the original trust and not binding on the assets.
Bridgeford Trust will be attending the 52nd Annual Heckerling Institute on Estate Planning from January 22-26 in Orlando, Florida. If you are attending Heckerling this year, we encourage you to join Bridgeford Trust and advisors from around the country and the world for two dynamic receptions that we are sponsoring.
Common Reporting Standard (CRS) has had a tremendous impact on planning for both domestic and international families with asset protection and privacy concerns. Very similar to FATCA, CRS is a powerful tool that is designed to reduce tax evasion and illegal financial activity by imposing very strong transparency rules and disclosure requirements relative to financial transactions. While the reporting requirements of CRS and FATCA are similar, FATCA focuses on collecting information from individuals only holding U.S. based accounts, and such information is not shared with other countries. CRS is broader in scope, seeking global cooperation and the sharing of financial information between and among participating jurisdictions, with enhanced transparency in multi-national business and investment reporting.
For a myriad of reasons, including privacy and asset protection, wealthy families from around the world are seeking U.S. trust solutions. Because of the power and sophistication of its trust laws, international families are increasingly selecting South Dakota for trust situs of Foreign Grantor Trusts. Through appropriate planning and drafting, a South Dakota Foreign Grantor Trust may be established as a “foreign” trust for U.S. tax purposes and therefore treated the same as an offshore trust, while availing itself of powerful U.S. trust laws.
David Warren, Co-Founder, President and CEO of Bridgeford Trust, will be presenting at Holland & Knight’s annual South Florida Wealth Conference taking place in Miami on November 8, 2017. Holland & Knight is a global law firm with more than 1,250 lawyers and other professionals in 27 offices throughout the world. The conference features topics including Estate Planning and Divorce, Planning for Special Assets (Aircraft, Yachts, Bitcoin), and Issues in International Wealth Planning. David will be presenting with Stewart Kasner, Kevin Packman, and Leon Fresco of Holland & Knight, on a panel entitled Issues in International Wealth Planning and will examine factors bringing international families to the United States for trust and wealth planning as well as the vital importance of selecting the proper trust jurisdiction in the planning process.
For the 6th consecutive year, South Dakota is again ranked as being the top Dynasty Trust state in the nation while Delaware, long considered a top tier trust jurisdiction, slips again in the rankings to the 8th position. A Dynasty Trust, not available in all states, is a powerful planning tool that essentially allows a trust to live in perpetuity (forever), therefore never subjecting the assets to federal estate taxation through a forced distribution. South Dakota was the first state in the nation to abolish the Rule Against Perpetuities in 1983, clearing the way for the creation of the first Dynasty Trust.
Bridgeford Trust is hosting a cocktail reception in advance of the South Dakota Trust Association’s Fall Forum next week and we would love to see you there! As we highlighted in a previous post, this first annual Fall Forum is scheduled for October 26-27 at the Sheraton Sioux Falls & Convention Center and is presented by The South Dakota Trust Association, in coordination with the American Bankers Association. Bridgeford Trust is a sponsor of this forum and you can learn more about it and register by clicking here. For those of you who are attending, we invite you to join us for a cocktail reception in advance of the Fall Forum on Wednesday, October 25th from 5:30pm – 7:30pm at The Country Club of Sioux Falls. Click on the image below for more details. RSVP today to Melissa Roberson at firstname.lastname@example.org. We hope to see you there!
Bridgeford Trust is excited to be sponsoring the South Dakota Trust Association’s first annual Fall Forum! The forum is scheduled for October 26-27 at the Sheraton Sioux Falls & Convention Center and is presented by The South Dakota Trust Association, in coordination with the American Bankers Association. The forum’s program will examine various aspects of South Dakota planning, updates from the South Dakota Governor’s Trust Task Force, the international communities’ interest in South Dakota, and will include nationally recognized speakers.