How New Zealand Trust Management Services Are Helping Its Government Attract Foreign Investors?
For years, there has been a lot of talk regarding the New Zealand Foreign Trust. For investors, foreign trusts have become synonymous with tax heaven where the rich can keep their fortune stockpiles away from the prying eyes of their local governments. For others, establishing a foreign trust means tax benefits. Therefore, the recent popularity of New Zealand Foreign Trust got many foreign investors excited about the possibility of another upcoming tax heaven.
However, only professionals understand that New Zealand is not a tax heaven nor it offers special incentives to investors looking to hide their wealth. Instead, the growing popularity of New Zealand is a result of transparency and favorable business environment for foreign investors who are looking to get excellent returns on their investments by following the law. In fact, OECD does not mention New Zealand as a tax heaven. Moreover, none of the recent governments in the country had any intentions to portray New Zealand as such. A closer inspection of treaties will also allow investors to understand that New Zealand tax laws are designed to facilitate foreign investors instead of helping them hiding information from law enforcement.
For instance, the country has 39 double tax agreements with other countries that help investors and foreign businesses reduce tax impediments. Similarly, New Zealand has 20 tax information exchange agreements with other international jurisdictions allowing authorities to curb tax evasion. Building on its reputation as a transparent business society, New Zealand is also the first country to sign multilateral Convention on Mutual Administrative Assistance in Tax Matters. It means that business owners, entrepreneurs and investors looking for viable opportunities for growth will find New Zealand a practical choice for their long-term investment goals.
As a result of these and numerous other business friendly initiatives, New Zealand is classified as a safe heaven due to its transparency, good laws, investor protection guidelines, and substantial legal and professional infrastructure. Experts insist that the reputation of New Zealand as investor friendly country and safe heaven is not only due to positive policies of subsequent governments, but it is also the result of professionals such as lawyers and accountants who are trained to guide foreign investors to take advantage of the New Zealand tax laws. In fact, many of these professionals are members of the international Society of Trust and Estate Practitioners.
Geoffrey Cone is one of the prime examples of such professionals who have helped New Zealand gain impeccable reputation among foreign investors. His firm, Cone Marshall Limited, is the only legal establishment in the country that provides exclusive services in international trust and tax planning. In fact, it also offers trustee and trust management services through its affiliates ensuring that New Zealand remains a model of transparency.