• Hong Kong Foreign Trust

  • Legal Framework

    The Hong Kong Foreign Trust is governed by the Trustee Ordinance.

    On 19 July 2013 Hong Kong passed the Trust law (Amendment) Bill 2013 which amends the Trustee Ordinance (Cap.29) and the Perpetuities and Accumulations Ordinance (Cap.257). The new law will apply from 1 December 2013.

    → Trust law (Amendment) Bill 2013

  • Registration Requirements

    There is no requirement for the registration of the Hong Kong Foreign Trust.

  • Settlor

    The Settlor does not need to be a permanent resident of Hong Kong.

  • Beneficiary

    The Beneficiary does not need to be a permanent resident of Hong Kong.

  • Trustee

    There is no requirement for the trustee to be licensed or resident in Hong Kong.

  • Protector

    The appointment of a Protector is optional.

  • Perpetuity Period

    The maximum duration of a Hong Kong Foreign Trust is 80 years.

  • Property

    There is no restriction on the property of a Hong Kong Foreign Trust.

  • Confidentiality

    As there are no registration requirements for the Hong Kong Foreign Trust the details of the Settlor and Beneficiaries are not disclosed to any person other than the Trustee.

  • Taxation

    Income derived by the Hong Kong Foreign Trust from assets outside Hong Kong will not be taxable to the trustee, or the beneficiaries.

    Distributions to beneficiaries from a Hong Kong Foreign Trust are not taxable in Hong Kong in the hands of the beneficiaries.

  • Asset protection

    There is no specific legislation providing asset protection for Hong Kong Foreign Trusts.

  • Reporting Requirements

    There are no reporting requirements for a Hong Kong Foreign Trusts.