Belize International Foundations

Structure, Requirements, and Advantages of a Belize International Foundation

Legal formation: The formation of an international foundation in Belize is regulated by the International Foundation Act 2010. Under the law, a foundation may be established for any period or for an indefinite period. A Foundation Charter is the official document of the Belize international foundation that must be drawn up to include detailed information relating to the powers, form of resolutions and the signing authority of the foundation. Re-domiciliation of a foreign foundation into Belize is accepted.

Founder: The founder is the individual or group who sets up the foundation and transfers their property into it. A Belize international foundation may have more than one founder. A founder may also act as a beneficiary of the foundation that he establishes. The founder is not required to be resident of Belize or a registered agent.

Beneficiaries: The beneficiary of a foundation is the person who is entitled to benefit from the formation of the structure. The Foundation Charter will specify how the beneficiary or beneficiaries will benefit from the foundation formation. The beneficiaries are not required by law to be resident of Belize.

Protector: The International Foundation Act recognizes the possibility of having a protector as part of the Belize foundation formation. The protector is required to ensure that management of the foundation is in complete compliance with the terms and conditions specified in the Foundation Charter.

Foundation Council: The foundation council members are those who manage and administer the foundation in compliance with the founder’s wishes. The council members are vested with the powers and obligations set forth in the Foundation Charter. At least one member of the foundation council must be a resident of Belize or a registered agent at all times.

Taxation: A Belize international foundation is not subject to any income tax, business tax, withholding tax, asset tax, profits tax, capital gains tax, distributions tax, inheritance tax, estate duty or any other like-tax based upon or measured by assets or income originating outside of Belize or in connection with matters of administration that may occur in Belize. A Belize international foundation is also exempt from stamp duty.

Audit and financial returns: A foundation is required to keep financial records, which should reflect the financial position of the Belize international company or corporation. The administrator of the international foundation shall keep all records, and submit all returns and documents.

Registered office and local agent: The registered office of a foundation shall be at the address of the registered agent. Every foundation shall have a secretary, who must be a regulated person, residing in Belize.

Time needed for formation: The usual time required is up to 7 working days for the legalization of the documents and delivery by courier.

When forming a Belize international foundation, ideally you should seek:

• Tax-exempt or tax-free jurisdiction, including from local income taxes and capital gains taxes
• Strong privacy protection
• Solid legal legislation and standing
• Access to foreign investment opportunities not available in your home country
• Easy communication with those helping you establishing the trust
• Inexpensive setup and maintenance costs

In other words, you should seek somewhere that you trust.  Belize is becoming one of the most popular destinations for international foundations because our country has all the advantages and none of the drawbacks featured elsewhere.