Singapore trust law has a strong foundation in English common law and trust principles. Originally created to solve a social problem related to land ownership during the Crusades, the concept of trusts has evolved considerably. Singapore has further enhanced the trust framework to adapt to modern requirements and meet international regulatory and compliance standards. The governing trust legislation in Singapore includes the Trust Companies Act, Business Trusts Act, Civil Law Act and the Trustees Act. The Trustees Act was modernized in 2004 to facilitate and promote wealth management in Singapore.
Singapore Trust Legal Requirements
|
Singapore Trust |
Corporate Details |
|
Restricted |
|
|
Trust |
|
Yes |
|
Share capital or equivalent |
|
|
USD |
|
Any |
|
None |
|
Trustee |
|
|
One |
|
Yes |
|
Protector |
|
|
One |
|
NA |
|
Accounts |
|
|
Yes |
|
No |
|
No |
Singapore Trust Tax Requirement
The territorial principle of tax applies to the income of a Singapore Trust.
Duration of Set up
2 Weeks
Distinctive Benefits of the Singapore Trust
- No requirement for formal registration of Singapore trusts
- Strict confidentiality and banking secrecy laws
- Settlors are protected from forced heirship claims
- A Settlor is free to reserve to himself any or all the powers of investment or asset management functions; thereby retaining an active role in managing the investments of the trust
- Settlors can appoint another person (known as a protector) to supervise the conduct of the trustees
- No estate duty or inheritance tax
- No capital gains tax
- Income tax mitigation for foreign trusts
The Valsen Advantage
- End to end comprehensive service
- Speedy and efficient service
- Expert advice on structuring options
- Dedicated ongoing compliance support
- Extensive network pool of service providers