For Canadians seeking to protect and grow wealth internationally, the Trifecta Offshore Asset Protection Structure—using the UK, Hong Kong, and Singapore—offers a compliant and powerful solution. This strategy requires precise execution, staged over several months, and coordinated with legal, tax, and banking professionals in multiple jurisdictions.
Below is the process, estimated timeline, and a realistic breakdown of legal fees for each stage.
Step 1: Cease Canadian Tax Residency
Process:
- Break “primary residential ties” to Canada: sell or rent your home, move your family, terminate Canadian health care, and acquire foreign residency.
- File an NR73 form with the Canada Revenue Agency to establish non-resident status.
- Plan for and address any Exit Tax on deemed dispositions.
Timeline: 3–6 months (depending on personal relocation readiness and CRA processing).
Legal/Tax Fees: CAD $5,000–$15,000
- Includes Canadian tax lawyer and accountant for exit tax planning, plus preparation of residency documentation.
Step 2: Establish UK Holding Company & HSBC London Accounts
Process:
- Incorporate a UK private limited company (Ltd) as the top-tier holding entity.
- Prepare incorporation documents, register with Companies House, and maintain statutory compliance.
- Open corporate accounts with HSBC London (requires due diligence, business plan, and beneficial ownership details).
Timeline: 4–8 weeks (UK company registration is fast; HSBC onboarding can take 4–6 weeks).
Legal/Setup Fees: GBP £3,000–£6,000 (~CAD $5,000–$10,000)
- Corporate law firm incorporation fees, compliance filings, and bank application support.
Step 3: Obtain Hong Kong Residency & Set Up Pension Plan
Process:
- Apply for Hong Kong residency (often via investment or employment sponsorship through the UK holding company’s Asia presence).
- Once resident, establish a Mandatory Provident Fund (MPF) or qualifying occupational pension.
- Integrate pension contributions from UK HoldCo dividends or directly from the Singapore OpCo.
Timeline: 3–6 months for residency approval; pension setup can be completed within 2 weeks after residency is granted.
Legal/Immigration Fees: HKD $30,000–$60,000 (~CAD $5,000–$10,000)
- Covers immigration lawyer fees, document preparation, and pension plan setup costs.
Step 4: Form Singapore Operating Company
Process:
- Incorporate a Singapore private limited company for active business operations.
- Complete Accounting and Corporate Regulatory Authority (ACRA) registration, appoint a local director, and file annual returns.
- Open corporate bank accounts in Singapore (can be with DBS, OCBC, or HSBC Singapore).
Timeline: 4–6 weeks for incorporation and banking.
Legal/Corporate Fees: SGD $5,000–$8,000 (~CAD $5,000–$8,000)
- Includes corporate secretarial services, compliance, and bank application assistance.
Total Estimated Timeline:
9–18 months for full implementation, assuming no unusual delays in immigration, banking compliance, or document processing.
Total Estimated Legal/Professional Fees:
CAD $20,000–$43,000 (plus government fees, taxes, and banking minimum deposit requirements).
Bottom line: The Trifecta Offshore Asset Protection Structure is not an overnight fix—it’s a carefully staged legal and banking strategy. For Canadian expats willing to invest the time and resources, the rewards are substantial: multi-jurisdictional asset protection, tax efficiency, and a platform for international expansion.
Invest Offshore assists Canadian expats in every step of this process—coordinating with trusted legal, tax, and banking partners to ensure your offshore strategy is fully compliant and optimally structured.
And remember, Invest Offshore also has investment opportunities in West Africa seeking investors for the Copperbelt Region.
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