The laws on international Trusts and taxation in New Zealand have been a topic of discussion for a while now. There have been people that have been claiming that the country is becoming a tax haven. However, seasoned lawyers such as Geoffrey Cone and Karen Marshall have found it necessary to help people understand these laws in a deeper and clearer way. The company which they are both senior partners at Cone Marshall LLC has been at the forefront in providing legal counsel in estates and trusts. Geoffrey deals with estates while Karen deals with estates.
When discussing New Zealand’s position and whether it was really a tax haven, Geoffrey has clearly stated that the company is the exact opposite of haven. For a country to earn the title of a tax haven, they have to fill certain ideals. To start with, the country has to have somewhat restrictive practices when it comes to reporting on taxes. This will make it more difficult for the home country to access the money after it has been sent out to the accounts in question. New Zealand is one of the cleanest countries when it comes to reporting on tax, especially when dealing with foreign trusts.
The OECD, the body that has the mandate to judge whether a country is transparent in tax reporting has white listed New Zealand. This simply shows that the country is not really one of the places where people who want to hide details about their taxes. For one to be allowed to establish a trust in the country, they have to fill a foreign tax disclosure form and hand it to the IRD. The person should also keep a record of assets, liabilities, settlements and distributions. Accountability for all the money earned and spent is also needed. All these records are supposed to be made in English, failure to which huge penalties are incurred.
The rigorous processes that have been put in place by the country are not characteristic of a tax haven. Countries that are tax havens do not tax foreigners and when they do it is a small fixed charge.
About Cone Marshall Principals
Karen Marshall has more than two decades experience in law. She was a litigator in London before she came and joined the law firm in 2005. In a yer, she had become one of the Principals. Geoffrey on the other hand on the other hand is a graduate of the University of Otago. He established his own practice in 1999 and has been working there ever since.