Setting Up A Trust In Thailand ?

[Manassas]

Doing some estate planning for my wife and I. We have no kids so I'm interested in setting up a Trust for the benefit of family members in the future.

Anybody have experience with this in Thailand? Best banks to use? Pitfalls?

Many thanks in advance for those familiar with the practice.

[MJP]

No such instrument exists in Thai law, at least last time I checked.

[elektrified]

Does not exist in Thai law.

[meatboy]

family will take care of it dont worry

[CWMcMurray]

The primary reason for trusts in the west is to avoid inheritance tax... as Thailand does not have any inheritance tax, no reason for trust....

I believe all you need is a will, no trust required.

[AnnyLing]

The primary reason for trusts in the west is to avoid inheritance tax... as Thailand does not have any inheritance tax, no reason for trust....

I believe all you need is a will, no trust required.

The primary reason for trusts in the west is to avoid inheritance tax... as Thailand does not have any inheritance tax, no reason for trust....

I believe all you need is a will, no trust required.

The primary reason for a trust is to circumvent any strict inheritance laws which may not be in line with your will. A trust can bypass a husband or wife if they turn out *not deserving*. A will can not.

[letitbe]

i believe their is no trust law in thailand so if true forget it or thats what our lawyer said when weve put property in our kids names

[letitbe]

The primary reason for trusts in the west is to avoid inheritance tax... as Thailand does not have any inheritance tax, no reason for trust....

I believe all you need is a will, no trust required.

The primary reason for trusts in the west is to avoid inheritance tax... as Thailand does not have any inheritance tax, no reason for trust....

I believe all you need is a will, no trust required.

not true their are many reasons such as you dont want your kids to blow it all at age 18 or want your wife to have income but capital to go to kids and lots of other reasons. Before I simply put everything into my Thai wifes name my UK and USA wills said money go into trust for our kids and my wife has income for life. We now have a few trusts for kids for stuff in UK and USA which say same thing but ive put nearly all in my wifes name as easier. Her will however says if she goes its in trust to our kids with me having income for life but at 86 I doubt shell go before me at less than half my age. 18+ years of marriage and still best thing i ever did and I love seeing face of new people here when I tell them I gave it all to my thai wife 10+ years ago and im still alive and kicking

[AnnyLing]

not true their are many reasons such as you dont want your kids to blow it all at age 18 or want your wife to have income but capital to go to kids and lots of other reasons. Before I simply put everything into my Thai wifes name my UK and USA wills said money go into trust for our kids and my wife has income for life. We now have a few trusts for kids for stuff in UK and USA which say same thing but ive put nearly all in my wifes name as easier. Her will however says if she goes its in trust to our kids with me having income for life but at 86 I doubt shell go before me at less than half my age. 18+ years of marriage and still best thing i ever did and I love seeing face of new people here when I tell them I gave it all to my thai wife 10+ years ago and im still alive and kicking

Who will execute the will of your wife in case of her demise?

[meatboy]

my understanding is any wills you make say in the uk covers assets in that country,and the same applies to wills made in thailand only concerns assets here.

[estefaniw]

Thai law does not recognize trusts and any document that attempts to create a trust in Thailand will be found invalid. You can draft a Thai will to take care of your Thai assets and a foreign trust to take care of foreign assets, but you should consult a law firm that has attorneys licensed to practice in all relevant jurisdictions.

[AnnyLing]

Thai law does not recognize trusts and any document that attempts to create a trust in Thailand will be found invalid. You can draft a Thai will to take care of your Thai assets and a foreign trust to take care of foreign assets, but you should consult a law firm that has attorneys licensed to practice in all relevant jurisdictions.

I live in Singapore, a jurisdiction with clear will/inheritance laws. No need for a lawyer to make a will, only a few simple points to be observed (guidance is available on the internet). Big advantage, no laws that interfere with your will. You appoint your executor.

[JimGant]

A trust can bypass a husband or wife if they turn out *not deserving*. A will can not.

Certainly, as in the West, you can "disinherit" whomever you wish in your Will, including your spouse. Just make sure such an action is spelled-out in the Will, to assure against any "oversight error" argument.

Inheritance laws take effect only when there is no Will. Of course, neither inheritance laws nor a Will can alter ownership of the half of joint property acquired by the "not deserving" spouse during marriage.

[AnnyLing]

A trust can bypass a husband or wife if they turn out *not deserving*. A will can not.

Certainly, as in the West, you can "disinherit" whomever you wish in your Will, including your spouse. Just make sure such an action is spelled-out in the Will, to assure against any "oversight error" argument.

Inheritance laws take effect only when there is no Will. Of course, neither inheritance laws nor a Will can alter ownership of the half of joint property acquired by the "not deserving" spouse during marriage.

People who think the whole "West" is like their own country should refrain to give wrong advice. My husband is from the "West" (Continental Western Europe) where in most countries you can not disherit first grade family members (spouse and children) except in very rare cases such as corporal attacks which endangered your life.

[JimGant]

My husband is from the "West" (Continental Western Europe) where in most countries you can not disherit first grade family members (spouse and children) except in very rare cases such as corporal attacks which endangered your life.

Interesting. I'm from the US, where we *can* disinherit "first grade family members* in our Wills. Maybe that's why my great great great great grandfather left Europe....crummy great great great great grandma, whatever.

But you assertion that this can be contradicted using the trust system makes no sense. Trusts are great tools for tailoring one's estate. But I really doubt that they can be used to "disinherit first grade family members" in "Continental Western Europe" countries where Wills cannot cut-out spouse and children (I'm still skeptical such countries exist....).

And you say:

I live in Singapore, a jurisdiction with clear will/inheritance laws.

Out of curiosity -- can your husband disinherit you in his Will under Singaporean law?

[AnnyLing]

***Out of curiosity -- can your husband disinherit you in his Will under Singaporean law?***

Yes he can. Singapore law gives absolute leeway in this respect. One strange peculiarity exists, Singapore law does not recognize a joint will.

[AnnyLing]

***But you assertion that this can be contradicted using the trust system makes no sense. Trusts are great tools for tailoring one's estate. But I really doubt that they can be used to "disinherit first grade family members" in "Continental Western Europe" countries where Wills cannot cut-out spouse and children (I'm still skeptical such countries exist....).***

The trust needs to be setup offshore that no domestic law is able to interfere. But that means that for example the owner of any asset located in Switzerland, France, Italy or Germany has to be an offshore entity (natural person or corporate entity). Inheritance laws of most countries in Continental Europe are based on "Roman Law" whereas criminal law is based on the "Napoleonic Code".