The Application Of Bermuda Stamp Duty To Trust Structures

This article explores some important Bermuda stamp duty implications applicable to instruments that trustees of Bermuda law trusts often enter into. It also considers the consequences of not paying stamp duty within the required time when an instrument is chargeable with stamp duty. It applies in respect of the law in Bermuda in force as at 20 January 2022 and is not intended to be exhaustive or constitute legal advice.
Bermuda continues to be a popular jurisdiction to establish or re-domicile trusts and family offices. It has attractive laws that facilitate flexible, efficient trust structuring and restructuring. Bermuda law does not impose income tax, corporation tax, capital gains or wealth taxes. "Exempted undertakings" may apply to the Minister of Finance for a tax assurance certificate certifying that the exempted undertaking will not be subject to any such taxes if introduced in Bermuda before 31 March 2035.