International Estate Planning

Succession rules in different jurisdictions vary quite significantly and it is important to understand how they may interact in your case. We help clients ensure that ownership and the transfer of foreign assets and business interests are structured in the most tax-efficient way to protect future generations.

A key objective in estate planning is to minimise the potential income and capital gains tax; and the inheritance tax liability on death. Owning global assets means you ought to consider how the tax rules in the relevant jurisdiction apply – and what you can do reduce your tax bill. It may also be advisable to take steps to change your tax domicile to make your international wealth more tax efficient. We can advise you on the domicile and deemed domicile rules.

The need to control cross-border assets can arise during a relationship or family breakdown. We advise clients in what can be distressing and difficult situations to protect their control and ownership of assets held in their name.

A will is one of the best ways to safeguard your wealth and your family. Owning foreign assets means it may be desirable to have a foreign will, in addition to an English will, to protect your cross-border assets. In some cases, a ‘worldwide will’ will suffice. Our specialists will advise you on the merits of having multiple wills to ensure your inheritance goals are achieved in accordance with applicable local laws.

Setting up a trust can prove highly effective in protecting assets and providing for your family. A robust trust can provide a regular income for your loved ones and can effectively ring-fence your assets for tax purposes, saving potentially significant sums of money.

There are other holding vehicles that can achieve a similar objective to trust structures, including family investment companies, family limited partnerships and foundations with the aim of keeping assets within, for example, the control of your family or to benefit a charity – or even to protect assets from confiscation.

We have an empathetic team that is experienced in protecting the elderly and vulnerable who own assets abroad and need help managing their finances. These are delicate situations and can become quite complex, but with specialist help, we can assist family members who are concerned about protecting their loved one’s cross-border wealth.

It’s never too early to appoint attorneys under an LPA to make decisions about your property and finances if you lose mental capacity. But whether it will be acceptable in another jurisdiction depends on its own laws. Therefore, it might also be prudent to appoint attorneys using the equivalent of an LPA in the relevant country in case the need arises and the English LPA is not accepted. We can also advise on whether a power of attorney made abroad can be ratified and used in England.

Owning property and other assets in other countries gives rise to complex legal and tax considerations and it is wise to take specialist legal advice. Wherever you are based, we can assist.