So the idea, for example, you build wealth, you are going to die, you want to plan transfer of estate/assets to next generation, you want to avoid taxes where possible so you go through the motions of setting up structures.
Ok. As a British person that hasn't resided in the UK for 15+ yrs I am looking from a UK perspective.
- You build wealth in the UK (say assets), retire having paid your taxes, you have assets in the UK and possibly outside the UK.
- You transfer assets to a corporation (BVI) equivalent in the UK (pay relevant taxes one off not annual).
- You transfer assets overseas either by gift (i.e Thailand 400,000 GBP a year tax free) -> similar in other countries OR transfer to a vehicle (BVI company or equivalent).
You die
Director changed on vehicles (Tax Free)
I mean it seems rather simple from that perspective, i don't see the need for elaborate trusts.
Another avenue.
- You build wealth in the UK (say deposits), retire having paid your taxes, you have assets in the UK and possibly outside the UK.
- you your benefiter become non tax resident, you move funds to Dubai, you pass funds to benefactor, benefactor moves back to UK after the allotted time for potential tax issues.
Obviously a hybrid for mixed assets/funds
For me (UK Centric) i think this is rather simple, in my families case they transferred to the youngest in the family as cancer was very sudden and didn't have time to plan, but even then there was benefits as in the UK you can be gifted a sizeable amount but need to last 7 yrs or as it were you have to live in the dying persons home for so long with them for it to be considered tax free transfer (this was usual back in the day)
Obviously can't speak for Europe/US/Other but from a UK perspective seems rather simple.
Ergo 70,000-100,000 in establishment fees and 20,000-50,000 in annual costs seems rather idiotic.
Admittedly from a UK perspective it works because you only pay taxes on UK income (hence liquid wealth needs to move offshore with you)
Capital Gains etc inheritance only is applicable if assets are in the UK, or owner or benefactor is otherwise domestic laws of the resident country apply for taxation perspectives
I.e in my case the kids will likely have barely any tax, perhaps 1/2%
Admittedly my UK inheritance was or has likely been expunged as one family estate was left to National Trust, another family estate was transferred to my cousin (youngest in the family) but all in family can use, next lot will likely be offset as my father becomes non resident and moves capital out of the UK when he retires bringing it a domestic issue to the location he retires and the benefactors (low tax or tax free)
I’m completely stumped when it comes to Europeans but I imagine you have similar
The issue is always immovable property and sometimes it’s best to gift that to a state entity or move it to a vehicle I’d imagine
Ok. As a British person that hasn't resided in the UK for 15+ yrs I am looking from a UK perspective.
- You build wealth in the UK (say assets), retire having paid your taxes, you have assets in the UK and possibly outside the UK.
- You transfer assets to a corporation (BVI) equivalent in the UK (pay relevant taxes one off not annual).
- You transfer assets overseas either by gift (i.e Thailand 400,000 GBP a year tax free) -> similar in other countries OR transfer to a vehicle (BVI company or equivalent).
You die
Director changed on vehicles (Tax Free)
I mean it seems rather simple from that perspective, i don't see the need for elaborate trusts.
Another avenue.
- You build wealth in the UK (say deposits), retire having paid your taxes, you have assets in the UK and possibly outside the UK.
- you your benefiter become non tax resident, you move funds to Dubai, you pass funds to benefactor, benefactor moves back to UK after the allotted time for potential tax issues.
Obviously a hybrid for mixed assets/funds
For me (UK Centric) i think this is rather simple, in my families case they transferred to the youngest in the family as cancer was very sudden and didn't have time to plan, but even then there was benefits as in the UK you can be gifted a sizeable amount but need to last 7 yrs or as it were you have to live in the dying persons home for so long with them for it to be considered tax free transfer (this was usual back in the day)
Obviously can't speak for Europe/US/Other but from a UK perspective seems rather simple.
Ergo 70,000-100,000 in establishment fees and 20,000-50,000 in annual costs seems rather idiotic.
Admittedly from a UK perspective it works because you only pay taxes on UK income (hence liquid wealth needs to move offshore with you)
Capital Gains etc inheritance only is applicable if assets are in the UK, or owner or benefactor is otherwise domestic laws of the resident country apply for taxation perspectives
I.e in my case the kids will likely have barely any tax, perhaps 1/2%
Admittedly my UK inheritance was or has likely been expunged as one family estate was left to National Trust, another family estate was transferred to my cousin (youngest in the family) but all in family can use, next lot will likely be offset as my father becomes non resident and moves capital out of the UK when he retires bringing it a domestic issue to the location he retires and the benefactors (low tax or tax free)
I’m completely stumped when it comes to Europeans but I imagine you have similar
The issue is always immovable property and sometimes it’s best to gift that to a state entity or move it to a vehicle I’d imagine
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