Provision of trustees upon establishment of a trust: Belize is a highly attractive territory to base an offshore trust establishment. This is thanks to its near impenetrable anonymity, and what is generally considered to be one of the finest asset protection legislations in the world because of a system that is largely based on the Guernsey Trusts Law of 1989.
If you want to take full advantage of this spectacular tax haven, get in touch with Coddan Formations Agency today.
A Belize international company and a trust are often used in conjunction with each other, with a trust holding shares in the IBC to create a secondary layer of anonymity and legal protection.
As with the UK a settlor transfers assets to the trust, which has a trustee in charge and a beneficiary that stands to receive the assets and income. The trust is a separate and distinct legal entity, so assets are legally separated from the settlor and beneficiary, held within the trust and protected from any legal claim against any individual.
The trustee can be nominated, as with a UK trust, and many choose to do so simply for the extra degree of anonymity and the convenience. The trustee can be a locally appointed individual and they are not legally allowed to use the trust’s funds or assets for their own purposes.
A protector can be appointed separately to oversee the work of the trustee and to make sure there is no abuse of power on behalf of the trustee. It’s an additional layer of protection that many foreign nationals choose to employ as even with a solid banking system, there are inevitable concerns about keeping money and assets in trust so far away from home. This extra pair of eyes can provide peace of mind.