Belize Trust Act 1992

Since the Belize Trusts Act was passed in 1992, Belize trusts have been a popular choice in international financial planning. Recent legislative amendments have sought to improve the jurisdiction’s existing protective framework and recent case law has confirmed the strength of the Belize trust as an asset protection device.

A Belize trust is formed when a settlor (ie, a natural person owning financial assets) wishes irrevocably to transfer his or her assets to the ownership of a trustee (ie, a licensed trust corporation) to hold, manage and distribute for the benefit of specified individuals or entities (ie, beneficiaries) under the express and implied terms of the trust deed. Usually the trustee acts under the guidance of a particular person or entity (ie, the protector) named by the settlor.

The concept of the trust is itself a tested and established creation of UK common law and trusts have been used for centuries in onshore estate planning. The evolution of trusts towards the realm of international financial services was therefore a logical inevitability. Belize trusts are supplemented by the country's domestic legislation, which bolsters the common law concept and enhances the protective and confidentiality aspects of the instrument. Belize trusts have a 120-year maximum duration and are therefore not subject to the law of perpetuities, which states that trusts should normally exist for the lifetime of the settlor, plus 21 years.

For more information about Belize and Belize Real Estate, please contact:

Caribbean Property Consultants
P.O. Box 149 Dangriga Stann Creek, Belize, Central America