Loading chat...

AR HB1240

Bill

Status

Failed

5/1/2023

Primary Sponsor

Robin Lundstrum

Click for details

Origin

House of Representatives

94th General Assembly (2023 Regular)

AI Summary

  • Exempts nongrantor trusts administered by Arkansas resident trustees from Arkansas income tax under a new provision in Arkansas Code 26-51-317

  • Applies exemption only to trusts that do not qualify as grantor trusts under federal law (26 U.S.C. § 671 et seq.) as of January 1, 2023

  • Intended to increase Arkansas competitiveness in financial services by attracting out-of-state trust assets and discouraging Arkansas residents from establishing trusts in other states

  • Effective for tax years beginning on or after January 1, 2023

Legislative Description

To Amend The Income Tax Laws Relating To Certain Trusts; To Preserve Certain Trust Assets; And To Exempt Certain Trusts From Income Tax.

Last Action

Died in House Committee at Sine Die Adjournment

5/1/2023

Committee Referrals

Revenue and Taxation1/24/2023

Full Bill Text

No bill text available