Belize trust formations are a great way to secure your hard earn money and make even more by earning profits on your investment. There are many reasons why the formation of these offshore Belize Trusts is beneficial. We’ll look over a few reasons how you can benefit from them as well as where you can go to effectively form Belize Trusts.
Benefits of Belize trusts
- Provides shield from creditors
Forming a Belize trust is an excellent way to protect your assets. Creditors cannot access or cease your funds once they are invested in a trust. Once the Belize trust is formed before any legal grievances are levied against you, your investments will remain secure and cannot be incorporated into any legal settlement that intends to seize your assets.
- Avoid probate and estate taxes
Probate is the process in which a judge certifies a will’s validity. This process can be expensive and time consuming. An offshore trust in Belize allows you to bypass the probate process, giving your beneficiaries instant access to their assets.
- Familiarity of laws and language
Belize Trusts are prepared in English and conform to the laws of England which is almost identical to the law of Belize.
- Tax planning
Trusts can afford grantors huge savings when it comes to tax planning since trust assets are not considered property of the grantor, and all profits and capital gains earned by the trust would be taxable based on the laws of the country where the trust was established. Belize trusts are exempted from all income and corporate taxes based on the Belize Trust Act. There is neither any estate, inheritance, succession or gift tax on assets that are attained by a trust nor is there any stamp duty imposed.
- Inheritance planning
Trusts are a great instrument in planning how you will manage your inheritance. For example if you are leaving real estate or a car to be shared between multiple beneficiaries, you can then include stipulations within the trust details to specify who all has access to the asset, how it should be shared, if it can be sold, who can sell it, and the manner in which the proceeds of selling the asset should be disbursed.
- Confidentiality
Trusts provide more privacy than wills because they do not undergo the probate process. This means that there will be no public record of the trust and its details of neither assets nor beneficiaries.
- Flexible Distribution
Trusts allow the grantor to dictate how they want the assets distributed to the beneficiary. For instance, if money is being disbursed, the grantor may choose for it to be issued by annuity payments instead of a large sum. They can also specify how they want the beneficiary to use the assets. Using the same instance above, the grantor can specify that the money is used to pay rent or medical expenses.
If you’re ready to secure your investments with an offshore trust, visit the Belize Corporate Services’ website for full Belize trust formation specifications. Belize Corporate Services specializes in the formation of Belize IBCs, Belize Trusts and Belize Foundations with supplementary services in offshore banking, virtual office services and more. You can also get assistance from trusted Belize lawyers.
