Declaration of Trust — Colorado UTC Adopted
State-specific requirements for creating a Declaration of Trust in Colorado.Create yours now →
Certificate of Trust · At a glance
Colorado · summary of the record on file
Colo. Rev. Stat. § 15-5-101 et seq. (Colorado Uniform Trust Code, enacted by SB 18-180, effective January 1, 2019). Certificate of trust: § 15-5-1013. Business trust definition: § 15-5-103(5) referencing § 15-10-201(6.5). Trust decanting: § 15-5-417 et seq.Citation text is shown as currently recorded. No source URL is on file for this state.Source URL missing · unverified- Notary: No statutory requirement for notary or witnesses on the certification of trust.
- Witnesses: No statutory requirement for notary or witnesses on the certification of trust.
- Recording: For real property transactions, a recorded certificate of trust or affidavit may be used.
- Source URL: https://content.leg.colorado.gov/sites/default/files/images/olls/crs2024-title-15.pdf
- Last verified: 2026-09-17
- Legal review: Not performed
Governing Statute
Colo. Rev. Stat. § 15-5-101 et seq. (Colorado Uniform Trust Code, enacted by SB 18-180, effective January 1, 2019). Certificate of trust: § 15-5-1013. Business trust definition: § 15-5-103(5) referencing § 15-10-201(6.5). Trust decanting: § 15-5-417 et seq.
Execution Requirements
Certification of trust may be signed or otherwise authenticated by any trustee (§ 15-5-1013(2)). No statutory requirement for notary or witnesses on the certification of trust. For trust instruments: Colorado does not require notarization for a trust to be valid, but notarization is recommended. For real property transactions, a recorded certificate of trust or affidavit may be used. Colorado allows nonjudicial settlement agreements (§ 15-5-111) and alternative dispute resolution provisions in trust instruments (§ 15-5-113). Recording not generally required for trust instruments. Colorado has specific provisions for trustee's deed recording.
Business Trust Treatment
Colorado defines 'business trust' in § 15-10-201(6.5) (referenced by § 15-5-103(5)). The UTC explicitly excludes business trusts from the definition of 'trust' under the Probate Code (§ 15-10-201(2)(II)), treating them as separate entities. Colorado does not have a comprehensive standalone statutory/business trust act like Maryland, Delaware, or Connecticut. Business trusts in Colorado are primarily governed by common law and the Colorado Uniform Trust Code does not apply to them (they are excluded from the 'trust' definition). Colorado business trusts are generally treated as common law entities; for statutory entity alternatives, Colorado offers LLCs, limited partnerships, and similar vehicles. The definition in § 15-10-201(6.5) treats a business trust as 'an unincorporated business association' created under a written trust instrument with transferable beneficial interests.
Favorable Trust Laws
Colorado adopted the UTC effective January 1, 2019 (one of the more recent adopters), incorporating modern provisions including: trust decanting (§ 15-5-417), nonjudicial settlement agreements (§ 15-5-111), alternative dispute resolution (§ 15-5-113), virtual representation (§ 15-5-301 to 15-5-305), and directed trusts (§ 15-5-808). Colorado has a relatively low state income tax (flat 4.4% as of recent years) on fiduciary income. Colorado has abolished the common law rule against perpetuities for trusts created after July 1, 2006 (§ 15-5-121), allowing perpetual/dynasty trusts. Colorado does not have a state gift tax or estate tax. Colorado allows self-settled spendthrift trusts but does not have specific asset protection trust legislation (like Alaska, Delaware, or South Dakota).
Unique Factors
Colorado is unique because: (1) It is one of the most recent UTC adopters (2019), meaning its trust code is modern and incorporates the latest uniform law developments including directed trusts and ADR; (2) Colorado explicitly includes 'alternative dispute resolution' as a defined concept in its UTC (§ 15-5-103(2))—trust instruments can mandate arbitration or other nonjudicial dispute resolution; (3) Colorado has abolished the rule against perpetuities, allowing perpetual dynasty trusts; (4) Colorado has no state estate or inheritance tax and a flat, low income tax rate—favorable for trust administration; (5) The Colorado UTC explicitly excludes business trusts from its scope (treating them as separate entities under common law), providing clarity on the boundary between trust law and business entity law; (6) Colorado's trust code includes specific provisions for trust protectors and trust directors reflecting modern directed trust structures.
Certification of Trust in Colorado
Under § 15-5-1013(1), a certification of trust must state: (a) that the trust exists and the date the trust instrument was executed; (b) the identity of the settlor; (c) the identity and address of the currently acting trustee; (d) the powers of the trustee; (e) the revocability or irrevocability of the trust and the identity of any person holding a power to revoke; (f) the authority of cotrustees to sign/authenticate and whether all or fewer than all are required to exercise trustee powers; (g) the name in which title to trust property may be taken. § 15-5-1013(3): must state that the trust has not been revoked, modified, or amended in any manner that would cause representations to be incorrect. Need not contain dispositive terms (§ 15-5-1013(4)). No statutory form—statutory requirements only. Follows UTC § 1013 model closely.
Already have a trust? You may also need a Certificate of Trust for Colorado to prove its existence to banks and institutions.
How a Declaration of Trust works in Colorado
A declaration of trust in Colorado is the written instrument that creates a trust under the Colorado Uniform Trust Code (Colo. Rev. Stat. § 15-5-101 et seq.). The settlor states an intent to hold property for named beneficiaries and appoints a trustee to manage it. The trust is created when the settlor transfers property to another person as trustee, declares that the settlor holds identifiable property as trustee, or exercises a power of appointment in favor of a trustee. The instrument must be in writing and signed by the settlor. Colorado does not require witnesses or notarization for trust validity, though notarization is recommended. Real property held in trust requires recording of deeds per standard real property law. A successor trustee named in the document takes over if the acting trustee steps down, becomes incapacitated, or dies. When proof of the trust is needed, Colo. Rev. Stat. § 15-5-1013 lists what a certification of trust may contain.
Frequently asked questions
Does a Colorado declaration of trust need to be notarized or witnessed?
Under the Colorado Uniform Trust Code, the trust instrument must be signed by the settlor. Witnesses are not required, and notarization is not required for the trust instrument itself. Notarization or an acknowledgment may still be required for recording purposes, such as real property transactions or a certificate of trust. Colorado also allows nonjudicial settlement agreements and alternative dispute resolution provisions in trust instruments, which provides additional flexibility for trust administration.
What goes in a certification of trust under Colo. Rev. Stat. § 15-5-1013?
The statute lists the contents: that the trust exists and the date the instrument was executed, the identity of the settlor, the identity and address of the currently acting trustee, the powers of the trustee, whether the trust is revocable and who holds the power to revoke, cotrustee signing authority, and the name in which title to trust property may be taken. The certification must also state that the trust has not been revoked, modified, or amended in a manner that would cause the representations to be incorrect.
How does Colorado treat business trusts?
Colorado defines business trusts in § 15-10-201(6.5), treating them as unincorporated business associations created under a written trust instrument with transferable beneficial interests. The UTC explicitly excludes business trusts from the definition of trust under the Probate Code. Colorado does not have a comprehensive standalone statutory business trust act. Business trusts are governed by common law and the Colorado Uniform Trust Code does not apply to them.
Can Colorado trusts last indefinitely?
Yes. Colorado abolished the common law rule against perpetuities for trusts created after July 1, 2006, under § 15-5-121, allowing perpetual dynasty trusts. The state has no state estate tax or gift tax and a flat low income tax rate, making it favorable for trust administration. Colorado also allows self-settled spendthrift trusts but does not have specific asset protection trust legislation like Alaska or Delaware.
Common mistakes
Common issues include assuming Colorado law requires witnesses or notarization for the trust instrument itself (it requires neither, though recording-related steps such as deeds or certificates of trust may call for an acknowledgment), and leaving the trust unfunded so that property never actually moves into it through a new deed or retitled accounts. Another frequent mix-up is confusing the Colorado UTC with the business trust definition; business trusts are excluded from the UTC's trust definition and are governed by common law. People also assume Colorado has DAPT legislation; it does not, though it does allow self-settled spendthrift trusts. Documents that omit a successor trustee create avoidable friction during administration.
Colorado notes
Colorado operates under the Colorado Uniform Trust Code, Colo. Rev. Stat. § 15-5-101 et seq., and the state abolished the common law rule against perpetuities for trusts created after July 1, 2006. Certification of trust contents are set by § 15-5-1013, and a third party may require the trustee to furnish excerpts from the trust instrument. Colorado levies no state estate tax or gift tax and has a flat low income tax rate. The state allows perpetual dynasty trusts under § 15-5-121. Colorado explicitly includes alternative dispute resolution as a defined concept in its UTC, allowing trust instruments to mandate arbitration or other nonjudicial dispute resolution. The Colorado UTC also includes provisions for trust protectors and trust directors reflecting modern directed trust structures. Business trusts are excluded from the UTC's trust definition and treated as separate entities under common law.