Representing beneficiaries of a trust in Canada

We support beneficiaries residing in Germany of a Canadian trust towards the Canadian trustee. In particular, our services include

• requesting a copy of the trust document;
• requesting and reviewing the trust inventory and accounting;
• requesting the documents required for tax assessment (inheritance tax, gift tax, income tax) in Germany;
• recommendations regarding the exercise of tax election rights to avoid double taxation;
• reviewing the trustee's activities (e.g. costs of administering the trust);
• asserting and enforcing the claim to payment of the share of the trust assets;
• advice on the tax-optimized distribution of assets when not all beneficiaries reside in Germany;
• initial review of the legality of withdrawals from the trust assets (e.g. for trust administration costs and trustee remuneration);
• assertion of claims for distribution against the trustee;
• assertion of claims for reimbursement, e.g. German inheritance tax;
• advice on disclaiming or rejecting rights to trust assets in order to reduce German inheritance tax;
• advice on payment methods, currency exchange and reporting requirements under the Foreign Trade and Payments Act (Außenwirtschaftsgesetz);
• advice regarding the Money Laundering Act (e.g. declarations to banks regarding the origin of the assets).

If our work reveals indications of breaches of duty by the trustee, we will also advise you as to whether it would be advisable to hire a Canadian lawyer to enforce your rights (e.g. with the aim of dismissing the trustee or obtaining payment of damages).

If – as is often the case – there is a claim against the estate in addition to the claim regarding the trust assets, or a claim for death benefits against a Canadian financial institution, we will also be of assistance in this regard.

On the basis of the information obtained, we also assist with the declaration of German inheritance tax in the case of connections to Canada and offer advice regarding the consequences of the inheritance for German income tax.

In-Person consultation and remote consultation

We provide In-Person consultation in Berlin and Munich.

Otherwise, we provide advice via remote communication (Zoom, telephone, e-mail).