Wealth Management Planning

Wealth Management Planning

Concerns for Investors Moving Abroad:

A thorough understanding of the fiscal, legal and cultural realities of the country of destination is required in order to address issues such as:

Different tax rates and systems

Not only may rates be different but also the basis of calculation. Entire areas of taxation may be new (such as wealth tax, which exists in only a minority of countries).

Different inheritance laws

The rules governing inheritance differ from country to country, including the degree of choice an individual has to choose his or her beneficiaries.

Implications of having family living in a different country

Aside from the emotional issues this may bring, having more than one system of law and taxation applying can create both problems and planning opportunities.

Effective planning during the transition period

To build a new financial planning structure that will be effective for the future, requires advisers with multi-jurisdictional experience.

Effective planning during the transition period

To build a new financial planning structure that will be effective for the future, requires advisers with multi-jurisdictional experience.

Solutions:

It is to address these concerns that cross-border or internationally transportable solutions for multi-jurisdiction families are developed. Advisers to wealthy families increasingly accept “privathancassurance” / a global life assurance structure – as a way to bring planning expertise from multiple countries together in a single, simple structure designed to the unique situation of the investor. Many of the general advantages that lead them to this conclusion are set out below.

Taxation

The tax treatment of the solution is understood and well evolved in most jurisdictions around the world. Within the EU these …. based solutions are well accepted and authorised, ensuring a level playing field treatment with domestic solutions, greatly aiding international transportability.

Language

Solutions are available with multi-language documentation and serviced by multi-lingual staff. Solutions are easily reportable for tax purposes (in some cases not requiring any reporting) so easing that aspect of financial administration.

Family

The complications of family members living in different countries present a planning challenge. However, arbitrage between multiple tax regimes can provide opportunities for tax planning. These opportunities are only available when advisers have a thorough understanding of the different domestic tax situations.

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