This is in compliance with U.S. tax laws which enable U.S. citizens to defer their taxes on their offshore investments through a self directed foreign life insurance policy.
FACTA Problems
As of this writing, the U.S. Foreign Account Tax Compliance Act (FACTA) is being phased in gradually over the next few years. This is the law which requires foreign financial companies and banks to disclose accounts held by U.S. citizens or face a 30% withholding tax penalty on all U.S. source income which is non-recoverable. As a result many foreign banks and financial institutions will no longer accept U.S.
customers.
The U.S. Internal Revenue Code allows a non-U.S. insurance company to make the election to be treated as a U.S. taxpayer. By taking this election, the foreign insurance company is not subject to FATCA.
Swiss Connection
We are working with an established life insurance company based in Zurich, Switzerland which has taken this election and offers Private Placement Life
Insurance and Deferred Variable Annuities for U.S. citizens and other
foreigners. This life insurance allows for the assets to be primarily held for use by the client in his or her retirement. Death benefits for named beneficiaries are also included.
Policyholder Control
They have a system whereby the assets are controlled by the policy holder, owned by the insurance company, located in a Swiss bank, and managed by a professional asset manager. The policy holder chooses the investment strategy whether it is a conservative fixed income portfolio, or a 100% listed equity, or a private equity portfolio, or hedge funds, or structured products, real estate, or alternative
investments. The asset manager manages the investments.
Asset Protection
The benefits include protection from personal bankruptcy and foreign
court judgments.
Tax Planning
Another benefit is that this insurance offers significant relief from income taxes and
inheritance taxes.
Contact Us to learn more about this unique investment opportunity.