Allows decanting for express irrevocable trusts or revocable trusts in certain instances.
Does not allow decanting of wholly charitable trusts but outlines charitable interests.
For decanting to occur, the authorized fiduciary generally must have the discretionary power under the trust’s terms to make principal distributions, except certain instances.
Protects trustees or others from liability for reasonably relying on a prior decanting.
Standards for decanting involving special needs trusts for beneficiary with a disability.
Sets limits on the decanting power, such as limits to avoid unintended tax consequence
Authorized fiduciaries who decant must do so in line with their fiduciary duties.
Provisions also establish which court has jurisdiction over decanting-related matters.
Establishes a $300 fee for petitions to the probate court for approval of a decanting.
Saving provision to address a decanting that does not comply with all requirements.
Legislative History
On Feb. 28, 2024, bill introduced in the Senate; on Apr. 24, 2024, bill passed Senate.
On Apr. 25, 2024, bill was introduced in House; on May 8, 2024, bill passed the House.
On May 20, 2024, assigned Public Act 24-104; on May 28, 2024, bill sent to governor.
Effectiveness
If enacted, bill becomes effective on Jan. 1, 2025.
Jun. 2024 CT LEG Governor Approval
On Jun. 4, 2024, CT LEG reported governor signed SB 272, effective on Jan. 1, 2025.
