Foreign Trust

Foreign Trust

by Richard C. Wilson & Family Offices Group Association Team

Family Office Definition: Foreign Trust

Foreign Trust definition:  A foreign trust that is located “offshore” (no U.S. fiduciaries or court supervision) is not subject to U.S. income taxes. While the foreign trust itself is not subject to U.S. income taxes, the IRS has specifically targeted the taxation of foreign investments. Distributions of income and gains to U.S. residents from the foreign trust may be taxed.  The IRS requires forms for establishing or transferring property to foreign trusts and/or all foreign trusts with U.S. beneficiaries.  If income is attributable to U.S. sources, income tax for the trust is the responsiblity of the grantor.

Download our free Family Office Report to learn more about the family office industry.

Read more Family Office Definitions

Tags: What is foreign trust?, foreign trust definition, foreign trust family office, foreign trust term, define foreign trust, foreign trust wealth management, foreign trust multi-family office, foreign trust single family office

Leave Your Response

* Name, Email, Comment are Required

We run the Family Offices Group, the #1 largest family office association with 84,000+ global members. We offer live events, a bestselling book, Webinars, a family office database, and a family office training & certificate program called the Qualified Family Office Professional (QFOP). To get to know us please watch this 2 minute video, and contact us any time during pacific business hours by calling (212) 729-5067 or emailing us at

Free Family Office Report (PDF)

Contact Details for 1,000 Family Offices in Excel