20 Jurisdictions Worldwide that have Foundation Acts!

Labuan Private Foundation - Truly One of The Best Wealth Management Tool for Legacy Succession

The Summary of the Foundation Acts in Different Jurisdictions

Labuan Mauritius Panama Liechtenstein Switzerland Jersey Isle of Man Seychelles
Private and/or charitable Private and/or charitable Private and/or charitable Private and/or charitable Only charitable foundations.
No private family foundation		 Private and/or charitable Private and/or charitable Private and/or charitable
No License Required Required if want benefits from DTA No License Required No License Required No License Required No License Required Require Licence No License Required
No minimum capital/endowments No minimum capital/endowments Minimum Capital USD 10K Minimum Capital CHF 30,000 Authorities will check initial endowment is sufficient to achieve goals No minimum capital/endowments No minimum capital/endowments USD 1
Required to register with the Registrar Required if obtain legal personality Required to register with the Registrar Required to register at Office of Land & Public Domain Family foundation – no registration required. Other foundation – register @ commercial register Required to register with the Registrar High court has extensive supervisory powers Required to register with the Registrar
Tax:
Investment Holding: 0%
Trading Activities: 3%		 Exempt if non-resident Exempted 0.1% on declared net assets subject to min. of CHF1,000 Tax exempted for charitable purposes Tax free Tax free Tax free
Resident Secretary Required Resident Secretary Required Secretary not required but need a Resident Agent Agent for Service No requirement for specific local Secretary Qualified member a “guardian” required No requirement for qualified person Appoint registered agent who may not be resident
Perpetual Perpetual Perpetual Perpetual Perpetual Perpetual Perpetual Perpetual

Labuan Private Foundation can be used to manage its own properties and assets for any lawful purpose which may be charitable or non-charitable for the following activities:

  • Personal wealth management
  • Intergenerational wealth succession via a Family Office
  • Making grants and charities
  • Prevention and relief of poverty
  • Advancement of religion, profession or education
  • Advancement of health crisis including prevention and relief of human sickness
  • Social and community advancement care for the elderly, disabled and the young
  • Advancement of culture, arts and heritage

Tax Advantages of a Labuan Private Foundation

  • 3% tax on Trading activities
  • 0% tax for purely Investment Holding activities
  • Income derived from Malaysian assets and business dealings are subject to local tax rate of 24%
  • No withholding tax on interest, management fee, royalty fee and technical fee
  • No tax on distribution of gains to the beneficiaries of individual or corporate
  • 0% tax on Directors’ fee payable to foreign individual or corporate director
  • 50% tax rebate on personal income of professional expatriate employment
  • No stamp duty payable for execution of Charter and Articles of Association and other instruments relating to offshore dealings
  • Ability to access to more than 70 Malaysia Tax Treaty partners
  • Tax exempted on Zakat payment