Trusts and Foundations
The trust is a long-established and well-founded concept within legal systems that are based on Anglo-Saxon law.The basis of trust law rests on the concept of “dual ownership” – namely that the legal title to assets is vested in one person (the Trustee) while the beneficial ownership of those same assets is vested in another person or persons (the Beneficiary/ies).
Mauritius Trusts are governed by The Trusts Act 2001 and the ultimate court of appeal is the Judicial Committee of the Privy Council in England.
We provide tailor-made trust solutions to clients and we can set up the following types of trusts, namely:
- Fixed Interest Trust
- Discretionary Trust
- Charitable Trust
- Purpose Trust
- ESOP Trust
- Shari’ah-compliant Trust
- Pension Scheme Trust
A foundation has features similar to both company and trust. A foundation is a separate legal entity similar to a company, with a founder who transfers property in the foundation and Council members collectively manage the Foundation’s assets contributed by one or more Founders. It may have Beneficiaries.The Foundation is registered with Registrar of Companies in Mauritius and issued with a certificate of registration. Provision has also been made for the appointment and qualification of a secretary and the appointment of auditors.
It may be formed by a charter or a will. It shall always have a secretary, a registered office in Mauritius, and at least one Council member resident in Mauritius. It may be a taxable or tax exempt vehicle, depending on how it is structured. A Charitable Foundation will be tax exempt. A foundation can be for non-charitable purposes also. A foundation is attractive to clients who are involved with jurisdictions where the concept of trust is less well known.