2011: A Year Of Regulatory Change Offshore

The year 2011 was undoubtedly an eventful one, and for trusts and estates practitioners the uncertain economic conditions came at a time of numerous legislative developments offshore. Bermuda, Cayman, Guernsey, the Isle of Man and Jersey saw several rule changes that will affect trust and company structures and potentially create more business opportunities.

A considerable number of tax information exchange agreements (TIEAs) were signed last year, illustrating a continued commitment to international standards, and more are likely to follow this year. Another trend is the emergence of foundations. This year is expected to be another busy 12 months for the regulators.

Bermuda

There were several legislative changes in Bermuda in 2011 that will affect trust and company structures. First was the Exempted Undertakings Tax Protection Amendment Act 2011, which extends the assurance of tax neutrality to April 2035. An exempted company, permit company, exempted