Thoughts on Identity and Asset Protection and Where to Find It

In a world of identity theft, frivolous lawsuits, and excessive damages levied on wealthy third parties who did nothing wrong it is not surprising that many look for some privacy for their identity and their hard earned wealth.
The modern world offers many conveniences tied to rapid transfer of information. Unfortunately if someone gets a hold of your information they can sometimes have your money too. Holding your assets through an anonymous corporation or foundation, especially overseas (offshore) can be an answer. If your money is not directly linked to your personal data then an identity thief will have a hard time finding it.
The legal system seems to become progressively more complex with time. A progressively more worrisome aspect is the assignment of damages in law suits to wealthy third parties in excess of their degree of fault in a matter. Having assets a step or two away from prying eyes could well protect a person the cost of being named in a frivolous law suit.
Where One Finds Identity Protection
As people search for more secure, private ways of protecting their assets, more of these searches ending successfully offshore in countries such as Belize or Panama. Belize offshore corporations are a useful vehicle for doing business without your name being public. Panama Private Interest Foundations can be an excellent method for protecting what you have earned. If someone finds your social security number they have no access to or idea that you have a Panama Private Interest Foundation. There is nothing illegal or immoral about putting your hard earned wealth where it is shielded from prying eyes.
The Panama Private Interest Foundation
The Panama foundation is a type of business structure that combines the benefits of a trust and a corporation, yet it is neither. A foundation is a legal concept that is different from any other entity known in Common Law because it typically has the express purpose of benefiting a specific group of individuals. When you form a Panama Private Interest Foundation you or those whom you name will become the beneficiaries. The legal structure of the foundation allows you to have the final say in its affairs and to pass the foundation benefits on to your heirs. The legal structure of the foundation is such that your name or those of other beneficiaries need not be found in any public record
The History of Foundations
The first modern Private Interest Foundation was started in the Principality of Liechtenstein. A “Law of Persons & Companies” in 1926 created the “Family Foundation” for the benefit of the members of one or more families and the “Mixed Foundation” for the private benefit of not only families, but also for people and organizations beyond the family unit. Eighty years later, the principles of this type of structure are used to form foundation structures in Panama.
Wealthy families in Europe have utilized Family Foundations incorporated in the Principality of Liechtenstein for estate-planning and to ensure an unmolested transition of assets to the family’s beneficiaries. Today, Liechtenstein Foundations can cost as much as $25,000 to incorporate, and as much as $10,000 per year to maintain. The protection of assets is very good but the cost is prohibitive to many people. This is where the less costly to set up and maintain business structures of Panama, referred to as Panama foundations, become useful.
Panama Foundations
Panama has had private interest foundations since 1995. They are based upon their Liechtenstein predecessor but are cheaper to set up and cheaper to maintain. An advantage of holding assets in a Panama Private Interest Foundation is that assets can be held in privacy, unlike with a trust a many countries. As with a trust assets can be passed to ones heirs without taxes. In the case of a foundation you can name your heirs as the next beneficiaries of the foundation.
In general foundations in Panama provide identity protection, asset protection, tax advantages, convenience, and cost savings.
Identity Protection
By combining a foundation structure, an offshore corporation in a jurisdiction such as Belize, and competent legal counsel you will have formed a business entity with two layers of protection of assets and privacy. Identity protection from prying eyes is a government protected right in Panama. If, for example, a bank employee in Panama divulges private information he or she can be prosecuted.
Asset Protection
Using this business setup you create strong protection for your assets. Identity protection begets asset protection. If you are not perceived to be rich you are less likely to be named in a suit. In addition, any frivolous judgment against you does not necessarily mean that someone will be able to satisfy a Panamanian court that you need pay damages from a foreign country out of foundation assets in Panama. Besides, you will be a beneficiary of the foundation, not the owner.
Tax Advantages Characteristics Of Agreement In Business Law
As regards foundations (and offshore corporations) Panama is a tax advantaged jurisdiction. Panama does not tax foreign-derived income. Your income and taxes “back home” on income earned outside of Panama are your business and not that of Panama.
A Foundation structure is very easy to create and maintain. Commonly a Panama Private Interest Foundation can be created without your even having to visit Panama. A foundation can be the holder of a bank account allowing you to access assets via an ATM card anywhere in the world.
Cost Objectives Of Business Finance
An offshore foundation is a legal entity that is inexpensive to both create and maintain when compared to its European model and older brother, the Liechtenstein foundation.
Building a secure future with offshore foundations
The benefits of a Panama foundation can be a valuable gift that you can pass down to your heirs. A Panama Private Interest Foundation can last 120 years. The legal structure of a foundation in Panama can protect your identity as well as your assets. A foundation structure is easy to form and you don’t even need to travel to Panama to do it.
As with all legal matters seek competent counsel, make sure that you understand each step of the process, and make sure that what you want is what you are getting.

READ  Let's Discuss Business Opportunities For Women