In South Dakota, a beneficiary-controlled trust can provide future beneficiaries with access to both their inheritance and protection from future creditors. A beneficiary-controlled trust can accomplish all of the following:
- Reduce or eliminate federal transfer taxes (gift tax, estate tax, generation skipping tax)
- Keep family assets in the family
- Protect assets from various creditors (lawsuits, tax liens, divorce, etc.)
- Permit retention of control over the management of assets
- Permit you to dictate the eventual beneficiaries of the assets
- Allow for the retention of flexibility if circumstances or goals change