Portability Of Colorado NFA Trusts – Can A Settlor Change States?

We are often asked whether a Colorado NFA Trust can be used in another state. Or, if the trust creator (Settlor) moves over the course of their life, can they keep the same trust or would they have to establish new a new NFA Trust in the new state and pay the $200 transfer fee per item? The short answer is yes, the person can usually keep their trust. The longer answer is it depends on the laws of the state the person moves to. The trust is not the limiting factor — it is state law.

A trust, for practical purposes, is much like any other entity. It can operate wherever trusts are recognized under national or state law. However, some states do not recognize trusts or treat them differently than Colorado treats trusts. It is important that any settlor of an NFA Trust not only check out the laws of the new state before transporting Title II weapons to that state, but to also understand all the rules and regulations surrounding the transportation of restricted weapons.