Our Trust services
Governments consider that these assets are taxable and the individual may possibly need to pay additional taxes on them, including income taxes.
Irrevocable trusts cannot be altered once they are set up, which means that the assets that are transferred, are permanently removed from the grantor’s estate. Upon the death of the grantor, the assets are not considered to be part of the estate and not subject to estate taxes.
The trustee can either work with the grantor on the management of the trust or be assigned with the complete control of the trust. A trustee can be a relative or a friend of the grantor, even an attorney or a whole entity which assists in areas like taxation, estate law and money management.
Assets which are often held by a trust include shares, investments, life-assurance policies issued during the grantor’s life, property and real estate and intellectual property.
By setting up an offshore discretionary trust the grantors maintain their privacy while providing for their beneficiaries. Trusts are also a legally recognised tool that is available for international tax, inheritance and estate-tax planning which protects your assets and wealth.
We specialize on setting up trusts in Cyprus and Seychelles, which of course include their individual benefits.
The main benefit for setting up a trust in Cyprus is that trusts and beneficiaries are not taxed in the island and no capital gains tax is imposed to international trusts. Also, any distributions to beneficiaries do not fall under taxation in Cyprus and additional assets can be put to the trust at any time. Finally, the trust can either be a shareholder in a company in Cyprus or abroad. Whereas the shareholder is a Cypriot company, it will receive the same benefits as an international one. What is also offered when making a trust in Cyprus is protection of assets against risks, future protection from creditors or claims of formal spouses.
We also cover Seychelles trust, which again bears various benefits. Setting up a Seychelles trust is cost effective because they are tax exempted, have low formation and administration costs. Under the Seychelles law foreign law trusts can be managed from Seychelles with full exemption from the country’s taxation. The exemption from taxation applies to income, assets, capital gains or stamp duties. The tax exemption is also applicable to income or gains from distributions from Seychelles IBCs or other Seychelles offshore vehicles which are authorized by the Financial Services Authorities.