§ 45a-545b — Definitions.

As used in this section and sections 45a-545c to 45a-545cc, inclusive: (1) “Appointive property” means the property or property interest subject to a power of appointment. (2) “Ascertainable standard” has the same meaning as provided in section 45a-499c . (3) “Authorized fiduciary” means: (A) A trustee or other fiduciary, other than a settlor or a beneficiary, that has discretion to distribute or direct a trustee to distribute part or all of the principal of the first trust to one or more current beneficiaries; (B) a special fiduciary appointed under section 45a-545i ; or (C) a special-needs fiduciary described under section 45a-545m . (4) “Beneficiary” means a person that: (A) Is a “beneficiary” as defined in section 45a-499c ; or (B) is an identified charitable organization that will or may receive distributions under the terms of the trust. (5) “Charitable interest” means an interest in a trust that: (A) Is held by an identified charitable organization and makes the organization a qualified beneficiary; (B) benefits only charitable organizations and, if the interest were held by an identified charitable organization, would make the organization a qualified beneficiary; or (C) is held solely for charitable purposes and, if the interest were held by an identified charitable organization, would make the organization a qualified beneficiary. (6) “Charitable organization” means: (A) A person, other than an individual, organized and operated exclusively for charitable purposes; or (B) a government or governmental subdivision, agency or instrumentality, to the extent it holds funds exclusively for a charitable purpose. (7) “Charitable purpose” means the relief of poverty, the advancement of education or religion, the promotion of health, a municipal or other governmental purpose or another purpose the achievement of which is beneficial to the community and consistent with the provisions of sections 45a-499z , 45a-514 and 47-2 . (8) “Court” has the same meaning as provided in section 45a-499c . (9) “Current beneficiary” has the same meaning as provided in section 45a-499c . “Current beneficiary” includes the holder of a presently exercisable general power of appointment but does not include a person that is a beneficiary only because the person holds any other power of appointment. (10) “Decanting power” means the power of an authorized fiduciary under this section and sections 45a-545c to 45a-545cc , inclusive, to distribute property of a first trust to one or more second trusts or to modify the terms of the first trust. (11) “Expanded distributive discretion” means a discretionary power of distribution that is not limited to an ascertainable standard or a reasonably definite standard. (12) “First trust” means a trust over which an authorized fiduciary may exercise the decanting power. (13) “First-trust instrument” means the trust instrument for a first trust. (14) “General power of appointment” means a power of appointment exercisable in favor of a powerholder, the powerholder's estate, a creditor of the powerholder or a creditor of the powerholder's estate. (15) “Jurisdiction” has the same meaning as provided in section 45a-499c . (16) “Noncontingent right” means a right that is not subject to the exercise of discretion or the occurrence of a specified event that is not certain to occur. “Noncontingent right” does not include a right held by a beneficiary if any person has discretion to distribute property subject to the right to any person other than the beneficiary or the beneficiary's estate. (17) “Person” has the same meaning as provided in section 45a-499c . (18) “Power of appointment” means a power that enables a powerholder acting in a nonfiduciary capacity to designate a recipient of an ownership interest in or another power of appointment over the appointive property. “Power of appointment” does not include a power of attorney. (19) “Powerholder” means a person in which a donor creates a power of appointment. (20) “Presently exercisable power of appointment” means a power of appointment exercisable by the powerholder at the relevant time. “Presently exercisable power of appointment”: (A) Includes a power of appointment exercisable only after the occurrence of a specified event, the satisfaction of an ascertainable standard or the passage of a specified time only after the: (i) Occurrence of the specified event; (ii) satisfaction of the ascertainable standard; or (iii) passage of the specified time; and (B) does not include a power exercisable only at the powerholder's death. (21) “Qualified beneficiary” has the same meaning as provided in section 45a-499c . (22) “Presumptive remainder beneficiary” means a qualified beneficiary other than a current beneficiary. (23) “Reasonably definite standard” means a clearly measurable standard under which a holder of a power of distribution is legally accountable within the meaning of Section 674(b)(5)(A) of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as amended from time to time, and the regulations thereunder. (24) “Record” means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in a perceivable form. (25) “Second trust” means: (A) A first trust after modification under this section and sections 45a-545c to 45a-545cc , inclusive; or (B) a trust to which a distribution of property from a first trust is or may be made under this section and sections 45a-545c to 45a-545cc , inclusive. (26) “Second-trust instrument” means the trust instrument for a second trust. (27) “Settlor” has the same meaning as provided in section 45a-499c , except as otherwise provided in section 45a-545y . (28) “Sign” means, with present intent to authenticate or adopt a record: (A) To execute or adopt a tangible symbol; or (B) to attach to or logically associate with the record an electronic symbol, sound or process. (29) “State” has the same meaning as provided in section 45a-499c . (30) “Successor beneficiary” means a beneficiary that is not a qualified beneficiary on the date the beneficiary's qualification is determined. “Successor beneficiary” does not include a person that is a beneficiary only because the person holds a nongeneral power of appointment. (31) “Terms of the trust” has the same meaning as provided in section 45a-499c . (32) “Testamentary trust” has the same meaning as provided in section 45a-499c . (33) “Trust director” has the same meaning as provided in section 45a-499c . (34) “Trust instrument” means a record executed by the settlor to create a trust or by any person to create a second trust that contains some or all of the terms of the trust, including any amendments. (35) “Vested interest” means a: (A) Right to a mandatory distribution that is a noncontingent right as of the date of the exercise of the decanting power; (B) current and noncontingent right, annually or more frequently, to a mandatory distribution of income, a specified dollar amount or a percentage of value of some or all of the trust property; (C) current and noncontingent right, annually or more frequently, to withdraw income, a specified dollar amount or a percentage of value of some or all of the trust property; (D) presently exercisable general power of appointment; or (E) right to receive an ascertainable part of the trust property on the trust's termination that is not subject to the exercise of discretion or to the occurrence of a specified event that is not certain to occur.

Legislative History

(P.A. 24-104, S. 2.) History: P.A. 24-104 effective January 1, 2025.