Offshore Asset Protection Trust / International Trust
An offshore asset protection trust or international trust, when set up properly, can be a highly effective tool for protecting your assets from the reach of civil creditors.
The assets are transferred out of your name and into an international trust. You still maintain the ability to manage and partially make decision for the trust and underlying assets.
Why offshore asset protection
Placing your assets into a properly constructed international trusts puts multiple layers of protection between your net worth and potential creditors. You can achieve even higher protection by combining an international trust held with an offshore LLC.
Reduced exposure to litigation
The United States generally is more litigation prone and creditor friendly than some other jurisdictions. Moving your assets out of the US into a suitable jurisdiction reduces your exposure. Of course, this only applies to future creditors. International trusts cannot be used to escape current creditors.
Stronger protection laws than US
Only a few jurisdictions worldwide offer international trust laws that protect assets of individuals and businesses from civil creditors. Cook Islands, the Isle of Man, Nevis and Belize are countries that offer a high level of asset protection and are politically stable.
Legal and legitimate
An offshore trust does not “hide” any assets. Neither does it reduce your US tax liability. It only creates barriers to protect assets from collection. As such, it is not a standalone offshoring or estate and tax planning solution. Rather it is one important component in an overall offshoring strategy.
Our asset protection services
We work with our clients to create iron-clad asset protection trusts that fit with their needs and estate planning wishes. At Global Expat Advisors, we walk our clients through the entire process and provide support and advice on every step of the way.
We can also help create a customized strategy that includes asset protection, tax optimization, banking solutions and business structuring, and implement other components of the strategy.