Services · Trusts & private foundations

Liechtenstein trust

Updated 7 October 2026

Open pricing. The final quote is fixed in writing before work starts.

Liechtenstein is one of the few civil-law countries with its own long-established trust institution. It suits clients who want a European jurisdiction with strong financial infrastructure next to the Swiss banking system, rather than a classic island offshore centre. Liechtenstein trusts are used for succession planning, asset protection and structuring family wealth.

We help you choose between a trust and the alternatives (foundations are also popular in Liechtenstein), select a licensed trustee, negotiate the trust deed and handle the registration. The state fee for registering the trust deed is about $370; the rest of the cost consists of the trustee's fees and depends on the structure. We then stay on for maintenance: amendments, trustee liaison, ongoing questions.

How a Liechtenstein trust works under the law

Liechtenstein trusts are governed by Articles 897 to 932 of the Persons and Companies Act. A trust set up for more than 12 months is entered in the commercial register within 30 days of its creation. Instead, the original or a certified copy of the deed of formation can be deposited with the Office of Justice within 12 months (Article 900); see the procedure on the national administration portal.

The trust deed is made in writing and must name the trust, the trust assets and the trustee, and the main or supplementary deed must name the beneficiaries or the purpose. For a private trust the settlor appoints at least one information agent and a successor in the deed.

Tax

Under Liechtenstein tax law a trust, as an asset arrangement without legal personality, is not subject to income tax and pays only the minimum tax of about $2,200 a year, according to the Liechtenstein tax administration. Beneficiaries pay tax in the country where they live.

How the setup works

1. Defining the task and choosing between a trust and a foundation.
2. Choosing a licensed trustee and passing client checks.
3. The trust deed and the supplementary deed naming beneficiaries.
4. Registration in the commercial register or deposit of the deed.
5. Asset transfer and ongoing administration.

What documents you need

Under anti-money laundering law a licensed trustee must identify the settlor and the beneficiaries and understand where the money comes from. So prepare: a passport and proof of address for each person involved, a description of the assets and their value, source of funds documents (sale of a business, dividends, inheritance, salary) and details of tax residence. Documents not in English are translated and copies certified.

Who gets refused

A trustee will not take on a structure if the source of funds cannot be documented, if anyone involved is under sanctions, or if the aim is to hide assets from creditors who are already known. Sanctions regimes restrict work with some citizenships, so we check whether the case can proceed before any documents are prepared.

Tax, beneficial ownership register and sanctions

• A trust with private asset structure status that carries on no economic activity pays only the minimum tax of about $2,200 a year.
• Trusts' beneficial owners are entered in Liechtenstein's beneficial ownership register, with restricted access.
• Liechtenstein applies the EU sanctions against Russia, including the ban on registering trusts and providing trust services where settlors or beneficiaries are Russian citizens or residents of Russia. We check eligibility before preparing documents.
• The trust deed is kept by the trustee, and only basic details go into the commercial register, so the deed's content stays private.
• Liechtenstein is in the European Economic Area and uses the Swiss franc, so a trust combines well with accounts at Swiss and Liechtenstein banks.

Who a Liechtenstein trust suits and who it does not

A Liechtenstein trust is chosen by families who need a European jurisdiction with its own trust law and the Swiss franc, close to Swiss banks. It suits succession planning and family wealth in securities and company shares, when it matters that the content of the deed stays with the trustee and only basic details go into the register.

The trust does not suit Russian citizens without a European residence permit: Liechtenstein applies EU sanctions. It is also expensive for modest wealth: besides the minimum tax of about $2,200 a year, the trustee's work is paid separately.

If the capital is modest and the only aim is to pass it to children, a will and a marriage contract are sometimes enough. A trust is justified when distribution rules must work for decades regardless of the law of the country where the heirs live.

Taxes in the settlor's and beneficiaries' countries

Where the settlor and beneficiaries pay tax depends on their own country of tax residence. In countries with controlled foreign company rules, a settlor who keeps control over the trust may be taxed on its profit and must report it every year. We prepare notifications and reporting on the controlled foreign companies page.

Trust or foundation in Liechtenstein

Both options are popular in Liechtenstein. A foundation is a legal person with capital from $37,000, a council and a register entry; a trust is an arrangement in which the trustee holds the assets, and the law sets no capital. A foundation is more convenient when an independent owner is needed that continental European banks understand; a trust when the flexibility of the deed matters. Compare on the Liechtenstein private foundation page and in the article trust or foundation: which to choose.

Which assets go into the trust

Usually accounts and portfolios at Liechtenstein and Swiss banks, company shares and income rights. Property in other countries is more conveniently held through a company whose shares belong to the trust. After the transfer the assets belong to the trustee, so transfer taxes in the country where the assets are located are checked before the deal.

Exchange of tax information and reporting

Liechtenstein takes part in the automatic exchange of financial account information. The bank or trustee reports the settlor, the beneficiaries and other persons who control the trust to the Liechtenstein tax administration, which passes the data to the countries where those people pay tax. A trust therefore does not hide assets from your home tax authority: its purpose is orderly ownership and succession, not secrecy.

Only licensed trustees and trust companies supervised by the Liechtenstein Financial Market Authority may manage a trust professionally. The trustee keeps records of the trust assets and documents on distributions, and beneficiaries declare what they receive where they are tax resident, under their own country's rules.

What it costs and how long it takes

The trust is entered in the commercial register within 30 days of creation, or the deed is deposited with the Office of Justice within 12 months. The whole process usually takes several weeks: the trustee spends the longest checking the settlor and source of funds. If the trust needs a company for its assets, see the Liechtenstein company registration page.

Fees

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