NevadaNevada

When deciding which trust jurisdiction to use to situs a trust, Nevada is often the chosen jurisdiction for a multitude of reasons. It excels in nearly every desired attribute that one would want in selecting a state situs. Arguably, those attributes are: (1) strong dynasty trust laws; (2) strong domestic asset protection trust (DAPT) laws; (3) a flexible decanting statute; and (4) no state income tax.

Let’s focus on each of these attributes with a special emphasis on more recent updates to the Nevada laws, including case law and statutory changes.¹

Strong Dynasty Trust Laws

Nevada passed its 365-year dynasty trust statute in its 2005 legislative session, which was effective for trusts that became irrevocable on or after Oct. 1, 2005. There...