Foreign Trusts Increase in New Zealand

Geoffrey Cone is a renowned lawyer from New Zealand. Cone is a graduate of the University of Otago, and he has a lot of expertise in tax and trust laws. In the year 1999, Geoffrey started a law firm known as Cone Marshall, and it has done well under his leadership. The law firm specializes in international cases concerning trust and tax activities. Geoffrey works as a principal at Cone Marshall.

 

Just recently, Geoffrey explained to the world why foreign trusts had increased significantly in New Zealand. New Zealand media has been making a lot of coverage about foreign trusts, making it sound like an activity that is meant for the wealthy individuals. The media are also making people think that foreign trusts have complex financial deals that are not for the ordinary man. However, this coverage is far from the truth.

 

New Zealand has never been a tax haven, and this is one of the reasons foreign trusts are increasing each passing day. The OECD has a list of the nations that are considered to be tax havens, and New Zealand is not on this list. Countries in the list are known for several characteristic: they impose little or no taxes, they do not provide enough transparency, and the law governing tax and trusts do not encourage the exchange of information with any other government. The private banking industry is not secretive either.

 

The 2002 OECD Model Agreement on Exchange of Information on Tax Matters is the standard transparency used in New Zealand at the moment. The special agreement supports the exchange of vital information between different governments. New Zealand is one of the first countries to comply with the international tax standards.

 

New Zealand has also earned the trust of many investors from different parts of the world because of the tax transparency that is demonstrated in its leadership. The country has a special way of handling foreign trusts and any other requirement that is placed on the trustees. At the end of the day, New Zealand ensures that its regulations help other governments whenever they request for crucial information.

 

All the necessary records must be kept only in New Zealand, and they should be recorded in English. If this is not done, then there are serious penalties against the affected parties. This power ensures that everything runs the right way. Geoffrey Cone and his law firm have also been working hard to ensure that cases concerning foreign trusts are handled with care.