In what sometimes I can only see as a bid to try and outmanoeuvre HMRC, a Trust can be moved around the world. Some might say that having travelled from Hong Kong in the East to Grand Cayman in the west that I have travelled a few miles on business. But why do Trusts seem to move a similar distance between say the Channel Islands, the Mediterranean and the Caribbean? No wonder some of the beneficiaries ask “Where’s the Trust gone?”
The need for compliance
There is nothing illegal in moving a Trust or for that matter a company from one jurisdiction to another. But the driver(s) for doing so need to be understood. Nobody likes paying too much tax. If tax can be legitimately reduced then why shouldn’t such a move take place. However, there have been a number of promoters of tax avoidance schemes that have moved a Trust around the world. Hopefully all the necessary paperwork has been completed accurately – but that’s a separate matter.
Getting access to the funds
We all get older. Some get wiser as well. The problems with advancing years is that you need to draw on your pensions and savings. There is little point putting funds offshore in a structure if you can’t get access to it when you most need it.
People’s pain thresholds can be severely tested if as a result what’s gone on over the years, it now results in the payment of tax, interest and perhaps even a penalty. And you still can’t get access to the funds.
All for a quiet life
Having achieved their life goals, many of my clients are now looking for a quiet life. They have been successful in their chosen area but don’t relish the thought of maintaining a Trust. Indeed, I wonder how many have even understood the mechanics of a Trust, the legalities etc. but that is now all in the past.
Maybe now is the time to let go and let all that grief and anxiety loose over the Loan Charge, Disguised Remuneration etc. and go over the hills and far away, never to return.
Help is at hand
If you have a matter that you wish to discuss, please call me on 07979 313 010 or email me at email@example.com for a free no obligation consultation.