Location: Western Hemisphere
Posted on: 15-10-13 11:02:49
This is in regards to passing down the assets my parents own in India.
Currently, they have named me as the legal heir. I am wondering if they can form a Trust for all their assets, entrust a trustee whom I have control over. All the assets are in India and most are liquid.
1. Are there any benefits of pursuing this route?
2. Would this make it easier in terms of me not having to deal with the beauracracy; rather let the trustee handle it?
3. Is it even possible? If so, is it trustworthy?
4. I don't have any siblings.
Thanks for any insight.
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Dimple2001
Quote:
Originally posted by dimple2001
This is in regards to passing down the assets my parents own in India.
Currently, they have named me as the legal heir. I am wondering if they can form a Trust for all their assets, entrust a trustee whom I have control over. All the assets are in India and most are liquid.
1. Are there any benefits of pursuing this route?
2. Would this make it easier in terms of me not having to deal with the beauracracy; rather let the trustee handle it?
3. Is it even possible? If so, is it trustworthy?
4. I don't have any siblings.
Thanks for any insight.
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I can only point and whistle and I cannot provide you with a proper directive in this regard. HERE IS SOMETHING TO THINK ABOUT....
The will your Parents have created, should be a proper will with no room for questioning. In short it has to pin point you as the ONLY recipiant and identify you to make it more valid anywhere. So, choose a WRITER of wills and the required stamp paper to complete it to a 'T'. Then pay and register the same. If it is irrevocable, then please make a statement to that effect in it. Since both the Parents are healthy and living there, provision has to be made for their sustenance during their life time and it befalls onto the beneficiary after the death of the last survivor. Now this 'WILL' is a Valid one and since you want to move further into a TRUST, it could remain sealed and in custody of a Lawyer there, where they live.
As regards the TRUST, if they create one there, which should not be a costly affair, it will be considered as an INTER VIVO or a Living Will. Many are doing this and also for other reasons. One such is for the donation of their organs, and for exclusions of Life Support systems, if they ever become comatose, if that is their choice.
All of these subjects are not so pleasent to discuss, but eventually will have to face and experience it anyway. If people conside death as a chapter in life and accept the same, then, we are not remiss in such a discussion here and take it as a serious topic for our consideration.
As regards the benefits of a trust, it operates as an entity on its own and you have no say in it untill you become the beneficiary of the will. The day on which it falls under your tutilage, you will have to do the reporting of the same as 'INHERITANCE' to the Canadian Government. No Taxes on it even then. The income it generates subsequently will be attributed to you, hence it will be wise to do a splitting of the same even prior to that, between you and your spouse, when you are preparing the same, so that the income generated by the trust does not get lumped in one hand. Also you can plan to or think of gifting a portion to any wothwhile cause or a charity of your choice, while it is getting prepared. This last suggestion is to your last query in your post.
How well the Trust gets looked after and the income it generates year over year, will be the land mark of how trustworthy the Trustees are in that location and the fees that they generate, as charges for themselves will speak volumes in their annual report. You will have to explore all of these for your self and since you do not have a hand in its day to day operation, be just an onlooker from a distance till such a time you personally enter into looking after the trust. Also obtain a few handouts and books locally from the libraries here and improve upon your knowledge on this subject matter.
There is more to it as you can see and I can amble on here on this subject or expand upon it and later with authority, and with links to it, if there is sufficient interest in it. Also, the country in which it gets established also plays a vital role and hence you will have to look elsewhere for authentic materials, especially there in India.
FH.
Location: Western Hemisphere
Posted on: 16-10-13 08:50:35
Thank you Full House.
Quite honestly, I have no interest in their assets and my ultimate goal, after they are deceased, is to establish educational funds and other such funds for worthy under privileged children in India. From that point, a properly managed trust would go a long way and cover the expenses of many children by means of interest accumulation. Also, I do not have the capability or the inclination to handle the Indian red tape and the associated nonsense. Hence, the need for someone or some organization that can be trusted.
Thank you again.
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Dimple2001
Quote:
Originally posted by dimple2001
Thank you Full House.
Quite honestly, I have no interest in their assets and my ultimate goal, after they are deceased, is to establish educational funds and other such funds for worthy under privileged children in India. From that point, a properly managed trust would go a long way and cover the expenses of many children by means of interest accumulation. Also, I do not have the capability or the inclination to handle the Indian red tape and the associated nonsense. Hence, the need for someone or some organization that can be trusted.
Thank you again.
You are a very good target for scammers
. But impressed with your noble thoughts. Not much to offer but try to explore one of the organizations managed by this social worker. When got a chance you could even watch a movie created on her work.http://en.wikipedia.org/wiki/Sindhutai_Sapkal
Once you get an idea by contacting them then you can also explore other avenues.
Good work and good luck. Keep it up!
Location: Western Hemisphere
Posted on: 16-10-13 11:39:41
Thank you bhootnath. Yep, I might be a target for scammers, but my total lack of trust of anything or anybody in India might work in my favor as I will be doing my due diligence before parting anything.
Anyway, it's a long way to go for implementation. Just wanted to get some planning done ahead of time.
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Dimple2001
Quote:
Originally posted by dimple2001
Thank you Full House.
Quite honestly, I have no interest in their assets and my ultimate goal, after they are deceased, is to establish educational funds and other such funds for worthy under privileged children in India. From that point, a properly managed trust would go a long way and cover the expenses of many children by means of interest accumulation. Also, I do not have the capability or the inclination to handle the Indian red tape and the associated nonsense. Hence, the need for someone or some organization that can be trusted.
Thank you again.
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Most of the financial institutions have a section that looks after all of these for iindividuals upon request. I picked an handout and it says "Executor Services" and it is available to you also. Alternately here is a link to one such website where you can make a request for a package. You can read and expand upon the roles and the services that is expected from an EXECUTOR of an estate or a TRUST.
http://www.rbc.com/estateandtrustservices" rel="nofollow">LINK
<www.rbc.com/estateandtrustservices>
FH.
Location: Western Hemisphere
Posted on: 17-10-13 13:59:35
Thanks again FH.
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Dimple2001
