I am willing to bet you have not heard of House Bill (HB) 208. It is not an exciting or high profile bill. In fact, it affects very few people, but the people it affects have money, a lot of money. It is a bill about trusts. The title of the bill is “An Act relating to trusts and powers of appointment; and providing for an effective date.”
There is a peculiar reason I am writing an article about HB 208, which I will get to later. But first, some background about trust law in Alaska is crucial in understanding why this bill exists. In 1997 the Alaska Legislature passed the Alaska Trust Act. This made Alaska an extremely good place to form a trust. Alaska remains one of the best states to have a trust because of our trust laws.
Trusts in Alaska
Not a lot of people have trusts. They are often designed for wealthy people to shield assets from taxation. According to Fidelity, “A trust is traditionally used for minimizing estate taxes and can offer other benefits as part of a well-crafted estate plan.