Asset Protection Trust

A limited number of states in the United States provided for an Asset Protection Trust, that allows you to avoid or reduce taxes paid upon transfer of any of the trust assets.

The principle goal of an asset protection trust is to insulate assets from claims of creditors. These trusts are irrevocable in nature. Most asset protection trusts contain a spendthrift clause, which prevents the trust beneficiary from alienating their interest in favor of a creditor.