It’s a difficult topic for many, but it needs to be discussed: What happens to your estate once you are no longer there to enjoy – and manage – it?
Survey after survey shows that three-quarters of people have now will or estate plan – even high net worth individuals who ought to know better and most certainly have much to lose. Such cognitive dissonance – willful ignorance – endangers the wealth these individuals have labored so strenuously to accumulate. And worse, it puts into jeopardy the loved ones who may have no significant financial wherewithal of their own.
All of this can be handled with the development and implementation of a global estate plan.
Avoid legal challenges to your will while minimizing the resulting tax burden
Now, you may have a will and testament and you may think that is enough. Sadly, it is not. For starters, a will must be probated (its validity established). That alone can set off a wave of lawsuits if the will was not properly created and authorized. And even if it is, there is the issue of inheritance or estate taxes, which in many countries result in extremely costly donations to the local jurisdiction.
All of which is why CS&P offers estate planning services designed to stave off legal challenges while minimizing the resulting tax burden.
A key component of our strategy is to minimize the potential damage that can be caused in probate court, where even distant relatives can pop up and pose challenges to the will simply because they feel they were treated unfairly. These challenges – and subsequent appeals – can go on for years, draining financial resources and sapping psychic energy. That’s why CS&P sets up separate legal entities to control significant assets. That way, when the individual dies, he doesn’t actually own any assets – the legal entity does. Meaning there is no will, no probate process, no inheritance or estate taxes. The heirs simply assume control of the legal entity and immediately enjoy the benefits of ownership. This structure can be perpetuated over generations, ensuring control of assets and minimizing attorney and tax fees.
One further note on taxes: Most countries impose estate or gift fees on the transfer of significant amounts of money or items of value. CS&P brings global expertise in tax law – in nearly one hundred nations – and will make sure we recommend the most beneficial structure for your transfer, which may include offshore bank accounts and legal entities located in tax-friendly jurisdictions
Contact us to find out more about CS&P estate planning services.