Case Studies

Taxation requirements are high in various regions. Using family offices to manage finances can save you from worries.

The following is a case sharing

Dr. Lin owns a small hospital in Japan and some medical equipment trading companies overseas.

Dr. Lin established his single family office. In the private bank account under his family office trust, there is a $30 million investment portfolio, of which $4 million of long-term investments have been rolling interest income. After analysis by the Japanese and Overseas Taxation Departments, it was found that Dr. Lin's overall tax liquidity needs in the world reached 18 million. To ensure that the assets can be smoothly handed over to his successor unit, Dr. Lin sought a tool through the head of the family office that can provide guaranteed additional liquidity after Dr. Lin's death. In the process, Dr. Lin also hopes to synchronize the value-added and effectively distribute through the existing investment portfolio. After sharing and referring to many international cases and understanding different structures, a financial structure contract structure was found. The advantage is that there is no need to change the existing investment portfolio, but it is very effective to provide guaranteed additional liquidity when he passes away as stipulated in the contract. Dr. Lin simply transferred his $4 million investment portfolio in the financial portfolio to the relevant financial instruments. The financial contract promised to create an additional liquidity of $18 million under certain circumstances.

Dr. Lin used the cost of the instrument contract that supported the additional liquidity of $18 million to fulfill his tax residency obligations in different places. In this way, Dr. Lin's family can effectively arrange the asset inheritance through these financial structure contracts and the distribution function of the trust.

Business Team Global Business Planning Working Concept