EXPERT INSIGHTS

By Martin Crawford In an increasingly mobile world, tens of thousands of Chinese nationals are migrating to the US each year. Navigating the tax issues that arise from moving assets across borders is challenging, but careful preparation and using offshore trusts can help.It is worth noting that a recent survey by China Merchants Bank and Bain & Company found that 60% of Chinese worth $15 million or more have left the country or are planning to leave. Wealth protection is one of several motivating factors. Four times a year the US Treasury Department publishes a list of individuals who have...

EXPERT INSIGHTS 2020

By Jeffrey Chen Along with the acceleration of economy globalization, Tax Information Exchange Agreement (TIEA) becomes one of the major methods that tax administrators of most jurisdiction in dealing with misuse of tax planning. By July 2012, China has signed 9 TIEAs with Bahamas, BVI, Isle of Man, Guernsey, Jersey, Bermuda, Argentina, Cayman Islands and San Marino. The TIEA between China and Guernsey signed on 27 October 2010 together with MOU has been effective from 17 August 2011 and enforces from 1 January 2012. Globally, there are more than 50 jurisdictions with a tag as International Finance Centre and is...

EXPERT INSIGHTS 2020

By Andrew J. Toles. Offshore financial centers have been torpedoed this year by news of massive information leaks. In April, 2013 the International Consortium of Investigative Journalists (ICIJ) reported that it unearthed 2.5 million documents exposing secrets from the offshore world. The ICIJ, based in Washington, D.C. and part ofthe Center for Public Integrity, is a group of journalists from more than 40 countries who analyzed documents for a year before revealing their discoveries. Among them were: (1) that the eldest daughter of Ferdinand Marcos, former President of the Philippines, is a beneficiary of an offshore trust now being investigated...

EXPERT INSIGHTS 2020

With the implementation of "going out" policy by Chinese government, more and more enterprises are undergoing cross-border M & A activities. The current M & A hot spot areas are mainly concentrated in regions such as Australia, Africa and the United States. However, with their core strength on machinery, telecommunications, new energy, and financial institutions,Europe was not much taken into account by traditional M & A outlook, so its asset prices are more reasonable. Therefore, merging and acquisitions of Chinese enterprises in Europe were somewhat low-key at an early stage. Stimulated by European debt crisis, M & A are becoming...

EXPERT INSIGHTS 2020

By Hao Wang Chinese people are generally reluctant to talk about death-related topics. These topics are especially taboo for China's rich. A survey by Forbes on family business succession issues shows that in China's listed companies, only less than 5% of them have organized a business shift to a second generation. As of 2011, according to the statistics from major banks, the number of Chinese wealthy with personal assets of more than 100 million yuan exceeded 60,000 with an average age of 43 years old. The number of the group with personal assets of more than 1 billion yuan exceeded...

EXPERT INSIGHTS 2020

By Michael Liu Overcoming the Third-Generation CurseThere is a very interesting common saying that has been widely circulated among the people of countries with different languages and cultures:  ealth cannot be passed beyond the third generation". This perception of difficulty in passing on wealth across generations is widespread. In fact, inter-generational inheritance itself is not difficult. The development of modern family trusts has entered the stage of a family office with richer content. Almost all the modern and traditional elements of family heritage and governance have been well integrated into this structure, making it an important tool in breaking this...

EXPERT INSIGHTS 2020

By Hao Wang In recent years, the number of Chinese with assets of over one million US dollars has been soaring. Among them, more and more people are no longer satisfied with regular investment channels to achieve wealth preservation and appreciation. They have extended their reach to emerging areas, such as collecting and investing in top-end art works, antiques and jewelry as well as other luxury goods. This cannot only guarantee their actual possession of wealth, but also fulfill their pursuit of a more desirable lifestyle.From a global perspective, private jets and luxury yachts are hot new trends, which are...

EXPERT INSIGHTS 2020

If you want to provide offshore services to China, go to Hong Kong. This statement is not new, but it seems to become more significant with each passing year. A combination of regulatory policy, strong local capital markets and geographical proximity are allowing Hong Kong to consolidate its position as the location of choice for China inbound and outbound corporate structures. An offshore environment that revolves around the use of double tax treaties (DTTs) to achieve tax efficiency - and the substance requirements that arise from that - inevitably works hugely in Hong Kong's favor. According to a survey of...

EXPERT INSIGHTS 2020