Connecticut Estate Planning Guide

You’re not alone in this. As someone who went through the estate planning process with my own aging parents, I know the weight of these conversations — the awkwardness, the guilt, the fear that you’re not doing enough or doing it too late. Take a breath. You’ve found the right place, and Connecticut has some rules you genuinely need to understand before you plan.

Here’s the thing about Connecticut: it’s the only state in the entire country with its own gift tax. Every other state relies on the federal gift tax. Connecticut has its own. That means if your parents are making large lifetime gifts — helping a grandchild buy a house, transferring business interests, moving assets into trusts — Connecticut is watching and potentially taxing those transfers at the state level.

The good news? Connecticut aligned its estate and gift tax exemption with the federal level in recent years, and the 2020 trust law overhaul made Connecticut one of the most flexible trust jurisdictions in the Northeast. Trusts can now last 800 years, asset protection trusts are available, and directed trusts let families split investment and distribution decisions among different fiduciaries.

Here’s everything you need to know about estate planning in Connecticut — no legal jargon, just clear answers from a son who’s been through it.

Connecticut’s Gift Tax: The Only One in America

How Connecticut’s gift tax works:

• Lifetime exemption: $15 million per person (2026) — unified with the estate tax exemption
• Annual exclusion: $19,000 per recipient (2026) — gifts within this amount don’t count against the lifetime exemption and don’t require a CT return
• Tax rate: Flat 12% on taxable gifts exceeding the lifetime exemption
• Unified system: The gift and estate tax exemptions are combined — every dollar used during life reduces what’s available at death
• Filing deadline: April 15 of the year following the calendar year of the gift
• Form: CT-706/709 (the same form handles both estate and gift tax returns)

Why this matters for your family: If your parents are making substantial lifetime gifts — transferring real estate, funding trusts for grandchildren, helping adult children with down payments — they need to track those gifts against their Connecticut exemption. In every other state, only the federal gift tax applies. In Connecticut, there’s a second layer. For most families with estates well under $15 million, no tax will be owed — but the reporting requirement still applies for gifts exceeding the annual exclusion.

Statute: C.G.S. § 12-391

Connecticut Estate Tax: Aligned with Federal

Connecticut is one of 12 states (plus DC) that imposes its own estate tax. But unlike Oregon ($1M threshold) or Massachusetts ($2M threshold), Connecticut has aligned its exemption with the federal level — meaning most families won’t owe state estate tax.

The critical detail: no state-level portability. Federal estate tax allows a surviving spouse to use the deceased spouse’s unused exemption (called DSUE — Deceased Spousal Unused Exclusion). Connecticut does not offer this. When the first spouse dies, their Connecticut exemption either gets used or it’s lost. For married couples with combined estates approaching $30 million, this means proper trust planning — typically a credit shelter (bypass) trust — is essential to preserve both exemptions.

Combined rate: For estates exceeding the $15 million exemption, the combined Connecticut and federal marginal rate can reach 52% (12% CT + 40% federal). That’s a powerful incentive to plan.

Filing forms: CT-706/709 (taxable estates, filed with CT Department of Revenue Services) or CT-706 NT (nontaxable estates, filed with the local Probate Court). Extensions are available via Form CT-706/709 EXT, but payment must accompany the extension request.

Two Trust Types in Connecticut

Connecticut adopted the Connecticut Uniform Trust Code (CUTC) effective January 1, 2020 — a comprehensive overhaul that modernized trust law and created planning opportunities that didn’t previously exist. The CUTC framework (C.G.S. §§ 45a-499a et seq.) governs both revocable and irrevocable trusts.

Connecticut Rules at a Glance

Connecticut’s Probate Court System: 54 Elected Judges

Connecticut has one of the most distinctive probate systems in the country. The state is divided into 54 probate districts (consolidated from 117 in 2011 under Public Act 09-01), each with its own elected judge. Connecticut’s probate judges are the only elected judges in the entire state judicial branch — they serve 4-year terms aligned with gubernatorial election cycles.

Since the 2009 consolidation, all probate judges must be licensed attorneys and members of the Connecticut bar. Prior to that, many probate judges in smaller districts were not lawyers — a historical quirk that the consolidation addressed.

Probate Fees (C.G.S. § 45a-107)

Connecticut probate fees are set by statute and uniform statewide — the same fee applies whether you’re in Greenwich or rural Windham County. Fees are based on the gross estate value.

Interest on unpaid fees: 0.5% per month, accruing 30 days after the invoice date.

Important note: Connecticut probate is supervised — the court actively oversees estate administration, including approval of accounts and distributions. This adds time and formality compared to the unsupervised probate available in many states. A properly funded revocable living trust can avoid this process entirely.

Use the official Connecticut Probate Court fee calculator for exact amounts based on your estate value.

Connecticut’s Trust Law Revolution (2020)

On January 1, 2020, Connecticut enacted a sweeping overhaul of its trust laws — the Connecticut Uniform Trust Code (CUTC) — that fundamentally changed what’s possible for families planning in the state. If your parents’ estate plan was created before 2020, it may not take advantage of these new tools.

800-Year Trust Duration

Before 2020, Connecticut trusts were limited to 90 years under the Uniform Statutory Rule Against Perpetuities. The CUTC extended this to 800 years for trusts made irrevocable on or after January 1, 2020. While not truly perpetual (like South Dakota or Nevada), 800 years is long enough for any practical dynasty planning purpose.

Domestic Asset Protection Trusts (DAPTs)

Connecticut became the 19th state to authorize self-settled asset protection trusts under the Connecticut Qualified Dispositions in Trust Act. Requirements include:

• Must be irrevocable
• Must have a qualified trustee (CT resident or CT-authorized entity)
• The qualified trustee must maintain custody of assets, file tax returns, and materially participate in administration
• Exception creditors (not shielded): pre-existing tort claims, marital/spousal support, child support, fraudulent transfer claims
• Lookback period: 4 years for fraudulent transfer claims

Directed Trusts

The Connecticut Uniform Directed Trust Act (CUDTA) allows families to split trustee powers among different fiduciaries — one for investments, one for distributions, one for administrative decisions. This is particularly valuable for families who want professional investment management but want a family member making distribution decisions.

Decanting

The Connecticut Uniform Trust Decanting Act (C.G.S. § 45a-545a, effective January 1, 2024) allows a trustee with discretionary distribution authority to “pour” trust assets from an existing irrevocable trust into a new trust with modified terms — without going to court. This is powerful for fixing outdated trusts or adapting to changed circumstances.

Transfer-on-Death Deeds: Available Since 2016

Connecticut adopted the Uniform Real Property Transfer on Death Act effective October 1, 2016 (C.G.S. § 45a-468i et seq.). This allows property owners to designate a beneficiary who will automatically receive real property at death — bypassing probate entirely.

Key features:

• The grantor retains full control during life — can sell, mortgage, or revoke the deed at any time
• The beneficiary has no rights to the property until the grantor’s death
• The transfer is nontestamentary — it’s not treated as a will
• If the beneficiary predeceases the grantor, the designation lapses
• The capacity required is the same as the capacity to make a will

Note: Connecticut does not recognize Lady Bird deeds (enhanced life estate deeds) and does not recognize tenancy by the entirety. For married couples, joint tenancy with right of survivorship (C.G.S. § 47-14a) is the primary form of joint property ownership, along with TOD deeds and revocable trusts.

Official Sources

CT DRS — Estate & Gift Tax Information · CT Probate Courts — Fees & Calculators · C.G.S. Chapter 217 — Estate & Gift Tax · C.G.S. Chapter 802c — Trusts · CT Probate Courts Homepage · CT General Statutes · CT Bar Association

What Estate Planning Costs in Connecticut

For advanced planning (credit shelter trusts, ILITs, DAPTs, dynasty trusts): Expect $5,000-$15,000+ depending on complexity. For married couples with combined estates near $30 million, the absence of state portability makes proper trust design essential — the tax savings can far exceed the planning costs.

Want to understand exactly what you’ll pay? Many Connecticut estate planning attorneys offer free or reduced-cost initial consultations. The Connecticut Bar Association maintains a lawyer referral service, and local bar associations in Fairfield, Hartford, and New Haven counties can connect you with trust and estate specialists. Find Connecticut estate planning attorneys below.

With a Trust vs. Without (Probate) in Connecticut

Small Estate Shortcut

Affidavit in Lieu of Probate (Form PC-212): Available when the total estate value is under $40,000 and there is no solely-owned real property. Non-probate assets (insurance, joint accounts, TOD accounts) don’t count toward the $40,000 threshold. The surviving spouse has priority to file; 30-day waiting period applies.

Estate Planning Readiness Checklist for Connecticut

Common Estate Planning Mistakes in Connecticut

Other Important Planning Tools in Connecticut

Healthcare Representative (Connecticut’s Healthcare Directive)

Connecticut replaced the terms “healthcare agent” and “durable power of attorney for healthcare” with “healthcare representative” effective October 1, 2006 (C.G.S. Chapter 368w, §§ 19a-575 et seq.). A healthcare representative is legally designated to make healthcare decisions if you can no longer communicate — and offers more flexibility than a living will alone.

Execution requirements: Two adult witnesses required. Notarization and an attorney are not required. The principal must have capacity to understand the consequences of the designation.

Connecticut also has a Living Will (end-of-life wishes, activated only when a physician certifies terminal illness or persistent vegetative state) and MOLST (Medical Orders for Life-Sustaining Treatment) — a physician order that takes effect immediately upon signing, used for patients with advanced illness.

Learn more about healthcare directives →

Durable Power of Attorney

Connecticut’s Uniform Power of Attorney Act (C.G.S. §§ 1-350 through 1-353) provides both short-form and long-form statutory POA forms. Requirements:

• Must be dated and signed by the principal
• Two witnesses required
• Notarization: Not strictly required by statute, but an acknowledged signature creates a presumption of genuineness — and many financial institutions will refuse to accept an unnotarized POA
• For durability (surviving incapacity), the document must contain specific language

Learn more about powers of attorney →

Long-Term Care Considerations

Connecticut Medicaid covers long-term nursing home care, but eligibility requires meeting strict asset and income limits. The Medicaid look-back period is 5 years (60 months). Connecticut is an expanded estate recovery state — the state can seek recovery from assets beyond just the probate estate, including trust assets and other non-probate property.

Key protections: Recovery is not permitted when there is a surviving spouse, a child under 21, or a blind or disabled child. The family home is protected while the surviving spouse lives there. Undue hardship waivers are available.

Learn more about long-term care planning →

Find a Connecticut Estate Planning Attorney

Connecticut attorney directories:

• Connecticut Bar Association
• CT Bar — Find a Lawyer
• American College of Trust and Estate Counsel (ACTEC) — Find a Fellow
• National Academy of Elder Law Attorneys (NAELA)

Questions to Ask Before You Hire a Connecticut Estate Planning Attorney

1. How many estate plans do you create per year, and what percentage of your practice is trust and estate work?
2. Can you explain how Connecticut’s gift tax interacts with the federal gift tax — and how large lifetime gifts affect my estate tax exemption?
3. Are you familiar with the 2020 Connecticut Uniform Trust Code changes — including 800-year trusts, DAPTs, and directed trusts?
4. What’s included in your flat fee (trust, pour-over will, POA, healthcare representative designation, trust funding)?
5. Will you help with funding the trust — retitling real estate deeds, bank accounts, and investments?
6. For married couples, how do you handle the lack of state-level portability — do you recommend credit shelter trusts?
7. What happens if I need to make changes later — how do you handle trust amendments and updates?

Recent Connecticut Updates

• January 1, 2026 — Estate/Gift Tax Exemption Increased to $15M: Following the federal One Big Beautiful Bill Act (signed July 4, 2025), which permanently set the federal exemption at $15 million per person, Connecticut’s exemption automatically aligned. The 2026 exemption is $15 million per person, indexed for inflation in future years.
• January 1, 2024 — Uniform Trust Decanting Act: C.G.S. § 45a-545a took effect, giving trustees statutory authority to modify irrevocable trusts by distributing assets into new trusts with updated terms.
• June 10, 2025 — Public Act 25-48 (Probate Court Operations): Various changes to probate court procedures affecting estate administration.
• January 1, 2020 — Trust Law Overhaul: Connecticut Uniform Trust Code (CUTC), Uniform Directed Trust Act (CUDTA), and Qualified Dispositions in Trust Act all became effective — the most significant modernization of Connecticut trust law in decades. 800-year trust duration, DAPTs, and directed trusts all authorized.
• October 1, 2021 — Homestead Exemption Increased: Public Act 21-161 raised the homestead exemption from $75,000 to $250,000 ($500,000 for married couples).
• October 1, 2016 — TOD Deeds Authorized: Connecticut adopted the Uniform Real Property Transfer on Death Act (C.G.S. § 45a-468i et seq.).

Last reviewed: February 2026

Last updated: February 2026. I review Connecticut’s estate planning rules quarterly and update this page whenever laws change. Bookmark it.

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