The civil law Foundation can be found in jurisdictions like Panama, Curacao, Luxembourg and Liechtenstein. The Foundation is a well advised alternative for the trust, which originates from common law countries.
Most Foundations known in civil law don’t make profits and mostly originated from ideologies in politics, society or religion. Not so for these offshore civil law foundations, which are incorporated for the conservation and protection of the estates of the Founder.
The Foundation limits itself to the mere acts of conservation, and is not used for business activities. However operating companies can be hold by the Foundation.
The older Liechtenstein Foundation, which was developed in 1926 by the Prince of Liechtenstein, ensured the protection and safe transition of assets to family beneficiaries. Over the years, this concept has developed to a strong protection tool, which is not only used for succession purposes, but also for the protection of company assets from creditor- and government claims.
The modern Foundation is easier to use then the Liechtenstein Foundation, and has more possibilities concerning the planning of international tax, both corporate as income tax.
The relatively low fees, in jurisdictions like Panama, Curacao and Luxembourg, made the Foundation a very popular vehicle, which has been used by many investors all over the world.
Its success is also noticed by the Seychelles Government, which is working on the Seychelles Foundation Act 2008. The goal is to improve the existing legislation offered in countries like Panama, and implement ‘bullet-proof’ asset protection provisions.
Inco Trust will keep you up-to-date about the Seychelles Foundation Act 2008 in our monthly newsletters. If you have any questions about the Foundation please contact us, or download our Foundation Company Report of your desired jurisdiction.
Inco Trust provides incorporation services of Foundations in:
Curacao, Luxembourg, Panama, Seychelles, Switzerland
