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Seychelles: Types of Company

Trusts

The International Trusts Act 1994 established, for the first time, a regime for international trusts in the Seychelles; it does not provide for domestic trusts. The Act was drafted after a thorough study of current practice in a number of leading offshore jurisdictions. Under the Act, the Seychelles International Business Authority (SIBA) is appointed as the regulatory body for trusts, alongside the Court.

The following are some of the key features of the Seychelles Trust regime (see Law of Offshore for further details):

  • An international trust may be created in writing, by will or by oral declaration; deemed trusts are admitted, as are those resulting from a decision of the Court;
  • Purpose trusts are permitted;
  • The settlor must reside outside the Seychelles for the duration of the trust; at least one trustee must reside in the jurisdiction, but this trustee may be an IBC, which shall not thus be deemed as resident; an IBC may therefore be a settlor;
  • The trust property may not include any Seychelles movable or immovable property.
  • The names of settlors and beneficiaries are confidential under the Act, unless a Court orders disclosure under the Anti-money Laundering Act;
  • The standard perpetuity period is 100 years; but it does not apply to purpose trusts;
  • The accumulation of income is permitted;
  • Forced heirship judgements are specifically excluded.

An international trust is exempt from tax in the Seychelles; a registration fee of USD100 is payable to SIBA. Registration of trusts must be carried out by one of the two licensed trustees currently operating in the Seychelles.

 

 

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