It isn’t easy to talk about, but someday you won’t be here. And while that prospect is surely frightening, equally disturbing is the possibility that all the hard-earned wealth you’ve accumulated won’t be properly passed along to your heirs. Or that distribution will be held up for years as legal challenges work their way through probate court.
Explore the advantages of transferring ownership to a new legal entity
Or – most cruelly – that the government will bite off a huge portion under the rubric of estate taxes.
CS&P can help you prepare your estate by creating a legal entity in a tax haven country and transferring ownership to that new entity. For your convenience, the assets themselves can remain in your home country where you can supervise and enjoy them; only the legal entity itself needs to be in the offshore jurisdiction.
The same strategy can be applied to all your assets – businesses, boats, bank accounts and more.
This way, when you do pass away, you actually own no assets – they are held by the legal entity. So there is nothing to probate. The legal entity passes control to your heirs – and those heirs can do the same for their own heirs. Because the legal entity lives on in perpetuity (that is, forever), there are never any inheritance taxes. Whoever controls the legal entity – you, your heirs, their heirs – controls the wealth and enjoys the benefits thereof.
Problem: Harry lives in a county with a high inheritance tax rate using a timely and costly probate process which will greatly reduce the amount of inheritance for his heirs. Harry would like to avoid these costs and delays when he passes away.
Solution: We can assist Harry with transferring ownership of all his assets into a legal entity located in a tax haven country with no inheritance tax or probate system. The assets can remain in Harry’s country while being in the name of the legal entity.
Bank accounts could also be transferred to tax haven countries in the name of the legal entity or they can remain in Harry’s country in the name of the legal entity.
When Harry passes away there will be no assets in his name to probate. The legal entity will immediately pass on control of all assets to Harry’s heirs (beneficiaries) who will also be able to continue this process for their heirs. The legal entity is perpetual (lasting forever) while maintaining ownership of all of Harry’s assets while Harry controls the legal entity. This system provides total estate planning which avoids inheritance taxes and probate while continuing to provide the same benefits for Harry’s heirs and their heirs.
Our global estate planning solutions can eliminate inheritance tax and costly probate.
Contact us to find out more about how CS&P estate planning solutions can help you pass along an estate while eliminating estate taxes.