the cyprus trust law one year on maria kyriacou andreas neocleous & co llc
TRANSCRIPT
![Page 1: The Cyprus Trust Law One Year On Maria Kyriacou Andreas Neocleous & Co LLC](https://reader035.vdocuments.us/reader035/viewer/2022062314/56649dbc5503460f94aadc43/html5/thumbnails/1.jpg)
The Cyprus Trust LawOne Year On
Maria Kyriacou
Andreas Neocleous & Co LLC
![Page 2: The Cyprus Trust Law One Year On Maria Kyriacou Andreas Neocleous & Co LLC](https://reader035.vdocuments.us/reader035/viewer/2022062314/56649dbc5503460f94aadc43/html5/thumbnails/2.jpg)
The Law of Trusts in Antiquity
• The Greeks (Demosthenis case 365 BC)
• The Romans (fideicommissum 200 BC)
• The Crusaders (12th century)
• The Anglo-Saxon legal system
![Page 3: The Cyprus Trust Law One Year On Maria Kyriacou Andreas Neocleous & Co LLC](https://reader035.vdocuments.us/reader035/viewer/2022062314/56649dbc5503460f94aadc43/html5/thumbnails/3.jpg)
The Law on Trusts Today
• The Trustee Law Cap 193 of 1955
• The International Trusts Law No. 69(I) of 1992 to 2012
![Page 4: The Cyprus Trust Law One Year On Maria Kyriacou Andreas Neocleous & Co LLC](https://reader035.vdocuments.us/reader035/viewer/2022062314/56649dbc5503460f94aadc43/html5/thumbnails/4.jpg)
STEP
The law aims at further enhancing
Cyprus’s footprint as a leading trust
jurisdiction since in contrary to most
jurisdictions transparency and authority
will be granted from the law creating the
Trust.
Total Serve - Cyprus Amends International
Trusts Law
The Cyprus House of Representatives passed
late last week the eagerly-awaited amendment
International welcome of the new LawPWC - Amendment of the Cyprus
International Trusts Law
The new Law builds on the existing very
attractive Cyprus International Trusts
Law and has introduced many new
features.
Andreas Neocleous & CO LLC - Reform of the Cyprus International Trusts Law of 1992The long-awaited reform of the Cyprus International Trusts Law, a muchneeded initiative, has finally become reality
DeloitteReform of the Cyprus InternationalTrusts. The most modern and favourabletrust regime in Europe
![Page 5: The Cyprus Trust Law One Year On Maria Kyriacou Andreas Neocleous & Co LLC](https://reader035.vdocuments.us/reader035/viewer/2022062314/56649dbc5503460f94aadc43/html5/thumbnails/5.jpg)
The effects of the new Law• New Trust Companies Registered
• Increase in EU Family Trusts choosing the Cyprus Law
![Page 6: The Cyprus Trust Law One Year On Maria Kyriacou Andreas Neocleous & Co LLC](https://reader035.vdocuments.us/reader035/viewer/2022062314/56649dbc5503460f94aadc43/html5/thumbnails/6.jpg)
Cyprus International Trusts Cases
&
UK Case Law
![Page 7: The Cyprus Trust Law One Year On Maria Kyriacou Andreas Neocleous & Co LLC](https://reader035.vdocuments.us/reader035/viewer/2022062314/56649dbc5503460f94aadc43/html5/thumbnails/7.jpg)
Key features of the new Trust Law (1)
• Removes any prohibition on settlors relocating to Cyprus after establishing a Cyprus International Trust;
• Makes clear that all questions relating to Cyprus International Trusts are to be determined in accordance with the laws of Cyprus;
• Protects against the application of foreign laws, such as forced heirship laws, as a matter of public policy;
• Allows the settlor to reserve powers to himself, to retain a beneficial interest in trust property, or to act as the protector or enforcer of the trust
• Removes any limit on the duration of a trust;
• Widens trustees' investment powers and, in particular, abolishes the prohibition on investment in immovable property in Cyprus
![Page 8: The Cyprus Trust Law One Year On Maria Kyriacou Andreas Neocleous & Co LLC](https://reader035.vdocuments.us/reader035/viewer/2022062314/56649dbc5503460f94aadc43/html5/thumbnails/8.jpg)
Key features of the new Trust Law (2)
• Powerful asset protection features
• 2 year “hardening period”
• Valid transfers unless intention to defraud is proved
• Claimant must show that he or she was a creditor at the time of transfer
• Unaffected by matrimonial property or succession laws
![Page 9: The Cyprus Trust Law One Year On Maria Kyriacou Andreas Neocleous & Co LLC](https://reader035.vdocuments.us/reader035/viewer/2022062314/56649dbc5503460f94aadc43/html5/thumbnails/9.jpg)
Uses of Cyprus international trusts
• Individuals– Preservation of wealth – Managing family wealth– Pre-immigration planning– High-risk professions– Pre- or post- nuptial arrangements– Testamentary freedom– Philanthropy
![Page 10: The Cyprus Trust Law One Year On Maria Kyriacou Andreas Neocleous & Co LLC](https://reader035.vdocuments.us/reader035/viewer/2022062314/56649dbc5503460f94aadc43/html5/thumbnails/10.jpg)
Managing family wealth
A Cyprus international trust provides an effective structure for managing family wealth with the following benefits:•Flexibility - reserved powers, choice of law•Protection •Unlimited investment powers•Tax neutrality•Perpetual existence•Inheritance tax avoidance
![Page 11: The Cyprus Trust Law One Year On Maria Kyriacou Andreas Neocleous & Co LLC](https://reader035.vdocuments.us/reader035/viewer/2022062314/56649dbc5503460f94aadc43/html5/thumbnails/11.jpg)
High-risk professions• Claims may emerge many years after the
event and be disastrous in scale
- From doctors to accountants
- From architects to businessmen
• But also prudent for all It is not intended to offer a loophole to every settlor who wishes to avoid
his existing creditors. Instead, it is intended to offer a legitimate protection to persons who may be engaged in high risk professional activities.
![Page 12: The Cyprus Trust Law One Year On Maria Kyriacou Andreas Neocleous & Co LLC](https://reader035.vdocuments.us/reader035/viewer/2022062314/56649dbc5503460f94aadc43/html5/thumbnails/12.jpg)
The reform of the International Trusts
Law gives Cyprus the most modern and favourable trust regime in Europe, and restores it to the "premier league" of trust jurisdictions.