A Private Trust Company (PTC) is a bespoke legal entity established to act as a trustee for a specific family or group of trusts. Unlike traditional trustee services, a PTC offers unparalleled flexibility and control, allowing families to manage their wealth and succession planning more effectively. The primary purpose of a PTC is to provide a tailored governance structure that aligns with the unique needs and objectives of the beneficiaries, ensuring long-term asset protection and confidentiality.
Main Advantages of Setting Up a PTC in Mauritius
Tax Benefits and Incentives
One of the most compelling reasons to set up a PTC in Mauritius is the advantageous tax regime. Mauritius offers a favourable tax environment, including:
- No capital gains tax.
- No inheritance or estate tax.
- Tax-exempt status for foreign-sourced income under certain conditions.
These tax incentives enable families to maximise their wealth while minimising their tax liabilities.
Confidentiality and Privacy Features
Mauritius is committed to maintaining the highest standards of confidentiality and privacy for its financial services clients. The jurisdiction has strong legal frameworks in place to protect the privacy of trust beneficiaries and ensure that sensitive information remains secure. This commitment to confidentiality makes Mauritius an ideal location for families seeking discretion in their wealth management.
Key Features of a PTC
Governance Structure and Flexibility
A PTC offers a flexible governance structure tailored to the specific needs of the family or beneficiaries. Families can appoint trusted individuals, including family members and advisors, to the board of the PTC, ensuring that the trusteeship aligns with their values and objectives. This level of customisation and control is not typically available with traditional trustee services.
Asset Protection and Succession Planning
One of the primary advantages of a PTC is its ability to provide strong asset protection and facilitate efficient succession planning. By establishing a PTC, families can safeguard their assets against potential risks, including creditor claims and political instability. Additionally, a PTC enables smooth intergenerational transfer of wealth, ensuring that assets are preserved and managed according to the family’s wishes.
Customisation and Control Over Trust Arrangements
A PTC allows for the creation of tailored trust arrangements that reflect the unique requirements of the family. This customisation includes setting specific terms and conditions for the management and distribution of trust assets. Families retain significant control over the trust’s operations, making a PTC an attractive option for those seeking bespoke wealth management solutions.
The Use of a PTC
Trustee Services
A PTC provides dedicated trustee services, managing and administering trust assets on behalf of the beneficiaries. This includes overseeing investments, ensuring compliance with the trust deed, and managing distributions according to the trust’s terms.
Estate Planning
PTCs allows you to provide wealth management and estate planning services by helping families preserve and grow their assets. This includes investment, financial planning, and tax optimisation tailored to the family’s objectives.
Family Office Services
Many PTCs in Mauritius also offer family office services, providing a centralised solution for managing the family’s financial affairs. These services include:
- Coordinating legal, tax, and financial advisors.
- Managing real estate and other tangible assets.
- Overseeing philanthropic activities.
Why Choose Mauritius Over Other Jurisdictions
When compared to other popular PTD jurisdictions, Mauritius stands out for several reasons:
- Cost-Effectiveness: Mauritius offers competitive costs for establishing and maintaining a PTC, making it an attractive option for families seeking cost-efficient solutions.
- Regulatory Strength: The FSC’s strong regulatory framework ensures that PTCs in Mauritius operate with the highest standards of compliance and governance.
- Strategic Location: Situated at the crossroads of Africa, Asia, and the Middle East, Mauritius provides a strategic base for managing global investments.
- Mauritius is widely recognised for its commitment to upholding international standards of financial regulation and transparency.
How to Get Started
Engage with Blue Azurite to understand the feasibility and benefits of establishing a PTC in Mauritius.
We will assist and guide you in the preparation of your business and operational plans, we will gather all necessary documentation and prepare the application for submission to the FSC. We will then cooperate with the FSC’s due diligence process by providing any additional information they might request until the licence is issued.
