WeVote
Log In

Bill

Bill

HB 185

Estates and Trusts - Spousal Lifetime Access Trusts

2026 Regular Session Introduced by Jon Cardin

Maryland would authorize Spousal Lifetime Access Trusts, enabling high-net-worth individuals to transfer assets into irrevocable trusts while reducing estate tax liability.

First Reading Judiciary
0
WeVote Research Nonpartisan
Bill Summary · HB 185

Legislative bill overview

HB 185 would authorize the creation of Spousal Lifetime Access Trusts (SLATs) in Maryland, a sophisticated estate planning tool that allows a spouse to transfer assets into an irrevocable trust while retaining certain access rights through the other spouse. The bill aligns Maryland law with federal tax provisions and makes it comparable to similar trust structures already recognized in other states.

Why is this important

SLATs are primarily used by high-net-worth individuals to reduce estate and gift taxes while maintaining some family access to trust assets. This bill could make Maryland more attractive for affluent residents seeking comprehensive estate planning options and may influence financial and legal planning decisions for significant wealth transfers.

Potential points of contention

  • Wealth concentration and inequality: Critics may argue the bill primarily benefits wealthy individuals, potentially exacerbating wealth inequality by providing tax advantages unavailable to average taxpayers
  • State revenue impact: The bill could reduce estate and inheritance tax collections if high-wealth individuals restructure their assets to minimize tax liability
  • Complexity and access: SLATs involve complex legal structures that may be inaccessible to those without sophisticated financial advisory services, raising equity concerns

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.