2. What can a Foundation do?
4. Does a Panama Foundation have a tax obligation in Panama?
Foundation Beneficiaries – The foundation can have a secret letter of wishes that is basically beneficiary instructions. These instructions are not in any public registry and are not filed with the government, thus they are private or secret. Beneficiaries can be changed at anytime. The beneficiary is not an owner and their debts are not debts of the foundation.
Foundation Founder – Our law firm normally provides a founder for the foundation so you need not be the founder. The foundation founder is not an owner or controller of the foundation.
Foundation Nominee Council Members – These are nominee employees that are very similar to the nominee board of directors of a Panama Corporation. There is very little they can do. They will execute signed but undated resignation letters. They will also generate to you a general power of attorney so you can act carte blanche on behalf of the foundation.
Foundation Protector – This is an office generally held by the one requesting the foundation be formed. It is a position of control but not ownership. It can be documented with a written employment contract stating duties including signing on the bank account, keeping the books and records and seeing that the overall foundation goals are being met. We generally have these agreements customer created to suit and they are signed by the nominee foundation council members, then notarized and apostilled.
Foundation Asset Protection – Panama has special laws to protect foundation assets from pre-trial freezes except if the foundation does something directly incorrect like it breaks a written contract for no good cause. We prefer the foundation to just act as a holding entity to avoid this.
Foundation Beneficiaries Fighting – The beneficiary instructions set forth in a foundation will be enforced by the Panama court exactly. You will not hear of the children suing each other and fighting over the estate of the parents. There is no inheritance tax in Panama
The Panama Foundation is the best possible asset protection vehicle.
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