An offshore foundation is one of the major ways for savvy investors to get the ultimate tax benefits and privacy protection. There are popular offshore tax havens, like Belize, that provide unmatched tax benefits for international investors like no capital gains tax, no income taxes and other tax exemptions.
Here are the main benefits of establishing a Belize offshore Foundation.
Asset Protection
Ensuring that your assets are managed in the right manner is a big concern for many people. In order to avoid having any legal rulings imposed on your assets and risk losing the rights to them, investing the assets in an offshore foundation would ensure that you remain total control over their administration.
Tax Breaks
Offshore foundations in Belize provide a wide range of tax breaks that make them very desirable to investors. Some tax benefits Belize offers founders of offshore foundations are exemptions from any income tax, business tax, withholding tax, asset tax, gift tax, profits tax, capital gains tax, distributions tax, inheritance tax, estate duty tax, and stamp duties.
Inheritance Planning
This is probably the first reason that comes to mind for establishing an offshore foundation. Offshore foundations are the ideal way to set money aside for your children after you’ve passed without having them accrue any of the taxes listed above. Also, by placing assets for your heirs in an offshore foundation, you get the security of knowing that your assets are totally protected and will only benefit the beneficiary listed in the bylaws.
Retirement Program
Many large corporations use offshore foundations as a vehicle for their employees’ pension schemes. By utilizing the offshore foundation for this purpose, employees are ensured that their funds are secure and can be easily disbursed via the rules in the foundation’s bylaws. Because the pensions’ funds will be placed in the offshore foundation, employees will receive a higher interest rate on the money since it is not taxable.
