Moving abroad is one of the most used wealth planning tools. The effects of moving on our estate are inevitable, even if moving is not always related to estate planning.
It is for that reason that, prior to making a decision, we must always bear in mind some basic aspects in order to define the decisions that we will make regarding our assets. Do we fulfill all the requirements? Are there any tax benefits in place? How can we access the benefits? What is the tax situation at the country where we will be moving, and what is our situation in the country we are leaving?
All this is part of moving abroad, in addition to other significant decisions. One of them is the issue of legal and tax residence. Legal residence is granted to foreigners who intent to settle in a country, and it is a migration issue. The tax residence defines in which country, or countries, an individual is living for tax purposes. In general, obtaining our legal residence does imply obtaining our tax residence, nor the other way around.
Depending on the country to which we wish to move, and also based on the needs and possibilities of each family group, we will face different requirements, advantages, disadvantages and possibilities for structuring our estate.
Regarding this topic, we suggest that you refer to the post published by our CEO, Martín Litwak: