Forming an Offshore Trust in TCI
A Trust is defined as a convenient method by which a limited number of persons (the trustees) may hold property on behalf of another person or persons (the beneficiaries) some of whom may yet be unborn. A trust is created when property is given by one peson to one of more other persons to be held and used for the benefit of third persons (the beneficiaries).
A trust is often formed:
(a) to mitigate the effects of burdensome laws and regulations,
(b) to avoid exchange controls.
(c) to defer and minimize taxes
(d) for international estate planning
(e) so the settlor is enabled to have their assets protected and administered in accordance with his/her wihes both up to and after his/her death.
A Turks and Caicos Trust may be established either by Deed of
Settlement in which the Settlor is identified or by Deed of Declaration of Trust,
in which the trustees acknowlege their appointment and receipt of the settled sum
with the settlor remaining anonymous. Asset transferred to a Turks and Caicos trust
should be unencumbered assets from the net estate of the settlor.
The Trusts Ordinance provides for the protection of assets transferred to a Turks
and Caicos Islands trust from claims based on the right of heirship exisitng under
foreign laws.
The above information was taken from an article written by Keith D Burant,
managing director of Meridian Trust Company here in the Turks and Caicos and
attorney Mr Paul Dempsey. both recommended by Peter Crawford Smith.
It is essential that any and all information be checked with authorized and
liscenced professionals that can advise the best way to go about forming a trust or
company here in the Islands as this web page information is only partial and only
gives a very basic idea of the use of Trusts.
