The Benefits of Offshore Asset Protection Trusts

With the national debt tripling, home values waning, potential tax increases on the horizon, and uncertainty as to when the state of the economy will improve, you have probably considered offshore options for protecting your wealth. Offshore trusts have become a smart and strategic method of asset protection for many Americans.

Offshore Asset Protection Trusts

When placed in the best jurisdiction, offshore asset protection trusts are considered the most sound method of protecting assets. While many countries offer offshore accounts, each one varies in investment benefits. Experts consider Belize to be one of the most stable jurisdictions for asset protection. Not only does Belize provide the best in investor privacy, the country is politically and economically stable.

An offshore asset protection trust is a legal asset protection strategy in which funds and property are positioned into an irrevocable trust in an offshore country such as Belize. Assets in the trust are taxed according to the rates set by the government of Belize. Currently, Belize does not charge income tax or capital gains taxes. This process not only offers several tax benefits, it protects investors from government interference.

To gain all of the benefits of an offshore trust, investors should consider an irrevocable asset protection trust. While the trust can not be changed once it is created, it provides the highest level of security. Investors must choose an independent trustee to manage the trust or designate themselves as the trustee. Because the trust becomes an entity that is separate from the investor, the assets placed in it are not linked to the owner. Should the investor become the target of litigation, assets will remain untouched in the offshore trust.

Why Choose an Offshore Asset Protection?

Domestic trusts are designed to protect creditors rather than investors. In the United States, asset protection laws are written with clauses that allow creditors to seize the assets of the wealthy, even if it causes bankruptcy. The United States government allows irrevocable trusts domestically, but does not protect them by law. Because foreign countries such as Belize do protect the assets of investors, an offshore asset protection trust is the most secure option for protecting assets.

Offshore asset protection trusts offer benefits that domestic trusts cannot. Offshore countries depend on the business from international consumers and make special provisions for investors. From lower tax rates to increased privacy, offshore banks provide many services to foreign investors. Irrevocable offshore trusts can lower taxes on an estate as offshore companies have lower or no income tax charges. This is a great way to increase assets within your estate. Trusts can protect assets while you are living and preserves them for future generations.

The experts at Caye Bank have the experience to create a solid offshore plan to protect your assets. They utilize many pecuniary strategies to protect estates, including offshore asset protection trusts. Call them at 011-501-226-2388 today and discuss your various options. English is their first language.

About this author


Caye International Bank Limited (CIBL) was granted an Unrestricted "A" Class International Banking License on September 29th, 2003 by the Central Bank of Belize and is regulated by the Central Bank of Belize which set the standards for liquidity and capital adequacy.