The Seychelles Trust
The Seychelles trust regulatory framework is provided by the Seychelles International Trust Act 1994 (the “Act”). It does not provide for domestic trusts. Under the Act, the Financial Services Authority (FSA) is appointed as the regulatory body for trusts, alongside the Court. The following are some of the key features of the Seychelles Trust:
•An international trust may be created by an oral declaration, or by an instrument in writing, a will or codicil
•The settlor should not at any time during the duration of the trust be a resident of the Seychelles;
•At all times at least one trustee must be a resident of Seychelles. The Seychelles resident trustee must hold a valid international trustee services license. Non-resident protectors may also be appointed.
•The protector appointed by the settlor may change the trustees only if this is provided for in the trust deed.
•The trust property may not include any property situated in Seychelles;
•The trust property can include shares, debentures, or any interests in a corporate body which is incorporated in a country other than the Seychelles or international business company or another international trust;
•A trustee of an international trust may, with prior approval, own immovable property, which is to be used as an office and may invest in securities and hold other investments in Seychelles;
•The name of the settlor or of any beneficiary and the trust accounts are confidential unless a court order disclosure;
•The settlor may choose the proper law of the trust and in the absence of a choice, the Act provides guidelines for determining the proper law;
•The Seychelles Court has exclusive jurisdiction in respect of all matters relating to an international trust;
•The settlor of an international trust may be a beneficiary but he must not be the sole beneficiary of the trust;
•A trustee of an international trust shall keep proper accounting records of the trustee’s trusteeship to enable the financial position of the trust to be determined and for the accounts to be prepared;
•Accumulation of income is permitted;
•Standard perpetuity period is 100 years unless terminated earlier either by the terms of the trust or any other reason. This does not apply to a charitable or purpose trust;
•Offshore trusts are exempt from Business Tax, withholding tax and Stamp Duty.
The above facts are given for purposes of general information only and any further details may be obtained by contacting us directly or by referring to the Act