Quill Assets | A Patrimonio Familiar Shelter | Part 0 of 6
A Quill Group Company
‘Patrimonio Familiar’ and ‘bi-cell’ Shelters Part Zero: Costs Canary Isles Version
QUILL ASSETS, A division of The Quill Group Company Secretary LLP Registered Address: Harbro House, Crown Lane, Denbigh LL16 3SY United Kingdom. Reg No. 2239135
The Willwriters Association
The Association of Lawyers
© The Quill Group S.L. v1.1, 05C07
A Patrimonio Familiar Shelter | Part Zero: Costs
Index Shelter price list . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Authorisation form . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Evaluation and qualification form . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
Š The Quill Group S.L. v1.1, 05C07
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A Patrimonio Familiar Shelter | Part Zero: Costs
Shelter price list The normal method formation of a – Patrimonio Familiar shelter structures is - that in order to cut out what can be long delays – full shelter structures are ‘pre-built’ - ready to be ‘sculpted’ to a family’s particular needs. Shelter structures are comprised of several compartments – sometimes involving several countries. Thus - as there is no certainty about the time they will take to form – they are usually pre-constructed as a ‘single tower’ Castell ‘Torres’ shelter. That single tower contains an asset (cash in a bank account) and awaits a second tower containing people - plus further assets to be added to the first tower - to become a Castell Tontine shelter.
Torres Pre formed ‘moulded’ shelters – i.e. that are ready for a family to step into - are called Torres (towers). Shelters that are ‘constructed to order’ are called Castell ‘Tontines’. Generally speaking you may chose either to instruct a Castell Tontine shelter structure to be constructed for your family’s needs - or – can purchase a ready made Castell Torres shelter structure: However : If you have a specific purchase date for a new property (or for any other specific target date for your shelter to be fully operative) - then you must always purchase a Castell Torres – because it is difficult to guarantee the date by which a Castell Tontine will be fully formed
on a newly built property or building land – or – to access much lower levels of taxation on income or profits created in any part of Spain – or the world – then you should always take the Castell Torres structure option
Prices The various shelter types and their costs are details in table format below. The elements – or layers - that make up the shelter structures are described – (elsewhere in our literature) - as ‘Russian Dolls’. Each ‘doll’ is a layer of activity - with its own name - and every shelter is made up of a mixture of different dolls : In addition to there being two classes of shelter - ‘Castell’ and ‘Bi-cell’ – there are two ‘types’ of shelter – ‘Torres’ and ‘Tontine’. There are also ‘shades’ of complexity of shelters – such as Canarias Brittanico - that relate to specific local or national circumstances. The phrases - Torres, Conquistador and Tontine all – however - refer to an interim stage involving of the construction of a shelter. Following construction and consolidation of the shelter – all shelters of any formation method or class - develop - in the long term - to being pure - ‘Castell - class’ shelters. Following the construction and consolidation of any shelter – beyond the most basic of structure formats – and through its life thereafter - all shelter’s are ‘Castells’.
If you are a foreigner wishing to protect your homeland assets against your homeland taxes - then you can only use a Torres Extrajerno shelter structure in the case of a British citizen a Torres Brittanico If you intend to make use of a Canaria class shelter – to save property transfer duty of 5% © The Quill Group S.L. v1.1, 05C07
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A Patrimonio Familiar Shelter | Part Zero: Costs
What elimination of - or tax savings will your family enjoy?
ALL
All of the specific illustrations below assume a new property is purchased at €300,000 – and is sold or has a value on death of €500,000. Also that any existing property absorbed has seen an existing capital gain of €100,000.
There will be no payment of inheritance taxes either in Spain or in your homeland country on first death - i.e. you or your spouse - or second death - or - on the death of any number of future generation Saving (illustrated) to widow(er) on first death - €50,000 Saving to family on second death - €120,000 The potential exists to sell any property inside a shelter structure - within one day - one month - one year or one hundred years - without payment of capital gains tax in Spain and with any 50% withholding Saving - 2006 non resident - €35,000 (today’s rate) Saving - 2006 resident - nil to €15,000 (today’s rate) Saving - proposed 2007 - non resident - €18,000 Saving - proposed 2007 - resident - nil to €18,000
© The Quill Group S.L. v1.1, 05C07
CANARIAS CLASS HOARDING BENIGN
As for Tontine and Conquistador - above - PLUS No property transfer tax is payable upon the purchase of any new build property or off plan or building land - in the Canary Islands Saving (illustrated) - €19,000
CANARIAS CLASS ACTIVE VIRULENT
The potential exists for taxation upon all surpluses - or profits into the shelter. Taxes are reduced from 30% to 3%
NO CLASS HOARDING OR BENIGN
Foreigners with no assets in Spain . Assets in an extranjero shelter are 100% protected from UK (and Spain or anywhere) inheritance tax and potentially capital gains tax
EXTRAJERNO CLASS ACTIVE VIRULENT
The potential exists for taxation upon all surpluses or profits into the shelter to be reduced from 30% to 3%
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A Patrimonio Familiar Shelter | Part Zero: Costs
Pre-formed Torres structures CLASS TYPE
DESCRIPTION
COST
BI-CELL BUYCELL
Ready to immediately purchase new property - complete with a bank accounts and €3,000 capital on deposit in the bank account With a mortgage available for a new property (subject to status)
€7,000 - shelter + 1% of the assets values declared as being sheltered €3,000 refunding what is in the shelters bank account
CASTELL TORRES
Ready to immediately accommodate your existing property With a bank account with €1,000 capital on deposit With a new mortgage available (subject to status) upon its transfer with no future cancellation clause Ready (1) to immediately accommodate your existing property to be sold or retained / rented. If sold - then without capital gains tax - nor 3% withholding Ready to immediately purchase a new property complete with a bank accounts and €3,000 capital on deposit in the bank account With a mortgage available to purchase the new property (subject to status) with a bank accounts and €3,000 capital on deposit in the bank account With a bank account (2) with €1,000 capital on deposit A trading shelter read to immediately purchase newly built domestic property - or - off plan - or building land in the Canaries - with no 5% transfer tax With a bank account (2) with €1,000 capital on deposit With a mortgage available (subject to status) Ready to receive / make profits potentially involving only 3% taxation
€6,000 - shelter €1,000 refunding what is in the shelter bank account + 1% of declared value
BI-CELL SELLCELL BUYCELL
BI-CELL CANARIAS
© The Quill Group S.L. v1.1, 05C07
SAVINGS
€10,000 - shelter + 1% of the assets values declared as being sheltered €4,000 refunding what is in the shelter bank account Much - or all of this cost is recoverable upon the sale of property
€7,000 - shelter + 1% of the assets values declared as being sheltered + €2,000 - trading licence and activity
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A Patrimonio Familiar Shelter | Part Zero: Costs
Made to measure – Castell Tontine Shelter structures CLASS TYPE
DESCRIPTION
COST
CASTELL TONTINE
Built to order to purchase a new property The shelter is ready to make that purchase within three month where no mortgage is involved (or - four months where a mortgage is required)
€6,000 - shelter 1% of purchase price €3,000 on deposit in the shelter bank account`
CASTELL TONTINE
Built to order to absorb an existing property Ready to form - including property within one month (ongoing paperwork takes a further month)
€5,000 - shelter 1% of value €1,000 on deposit in the shelter bank account
CASTELL TONTINE CANARIAS
A qualifying trading shelter - built to your specific €6,000 - shelter order to purchase domestic property - in four to six 1% of purchase price months - without being required to make payment of 5% €3,000 remains in the shelter bank property transfer tax account
© The Quill Group S.L. v1.1, 05C07
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A Patrimonio Familiar Shelter | Part Zero: Costs
The Quill Group Company Secretary LLP
Sample signature for authorisation Please complete this form in BLACK ink.
*delete as applicable Please sign in the box below
Founder 1 details
Your signature will be used with the application for a Spain shelter entity and English language Branch entity
Print Name Passport Residencia No. Date of Birth Email address
Founder 2 details
Please sign in the box below
Your signature will be used with the application for a Spain shelter entity and English language Branch entity
Print Name Passport Residencia No. Date of Birth Email address
Š The Quill Group S.L. v1.1, 05C07
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A Patrimonio Familiar Shelter | Part Zero: Costs
Please sign in the box below Founder 3 details
Your signature will be used with the application for a Spain shelter entity and English language Branch entity
Print Name Passport Residencia No. Date of Birth Email address
Contact details
Address (Home Country)
How can we reach you by telephone in your own country ? Landline number:
Mobile number:
Address (Spain)
How can we reach you by telephone in Spain ? Landline number:
Estimated costs
Mobile number:
Basic shelter cost Likely total 1% charge Likely total shelter cost
Š The Quill Group S.L. v1.1, 05C07
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A Patrimonio Familiar Shelter | Part Zero: Costs
Property value
Property 1
Property 2
Property 3
*AO/TBP
*AO/TBP
*AO/TBP
Purchase price (full) Escritura value Market value today Declarable value Mortgage outstanding Already owned/to be purchased* *delete as applicable
Š The Quill Group S.L. v1.1, 05C07
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A Patrimonio Familiar Shelter | Part Zero: Costs
Swallow
Do you Holiday in Spain for
< 1 month
< 3 months
< 6 months
Live in Spain for
> 3 months
> 6 months
> all year
Rest of year spent in: When are you next coming to Lanzarote?
Banking
With whom do you bank in Spain? Are you happy with that bank to be your shelter’s bank?
Yes
No
Details (i.e. A/c No. etc.): Declarations
I declare that I have heard my instructions concerning the creation of any Patrimonio Familiar shelter read to me and acknowledge that they represent my intentions as to the sheltering of selected aspects of my / our family estate – and the disposal of my estate. I declare that I will pay the agreed fees at the relevant times in the formation of my shelter structure.
Signed:.......................................................................................
Torres Torres moulds are pre-formed shelter structures available for your immediate use. Castell Castell shelters are moulded to your specific requirements, from scratch, embodying your family name, taking around ten weeks to form. Tontine Class A ‘Tontine Class’ shelter is for the family with a foot in more than one country. This may mean living and working in the UK with a holiday home in Spain - or - living for six months in each country - or - living in Spain but still with a property or business interests in the UK etc. All Spanish inheritance and foreigner taxes are eliminated for €5,000 plus 1% of the ‘official’ value of the property sheltered. Conquistador Class A Shelter must be in a particular - and special - shape when it is to be used to purchase a new property (i.e. as opposed to having property you or your family already own transferred to it).
© The Quill Group S.L. v1.1, 05C07
Date: .......................................
A Conquistador shelter therefore either starts life ‘empty’ - or has some property in it, but is about to acquire further property. Once that is done the Conquistador Shelter becomes a Tontine or Castell Shelter. The Conquistador will create immediate transfer tax or IGIC savings (greater than its cost) and will then go on to provide Inheritance Tax, Wealth Tax and Capital Gain Tax ‘shelter’ for generations. Costs €6,000 plus 1% of property value when formed to order - or €7,000 plus 1% of property value when ‘pre-formed’ ready - within days - to be used. Castell Class Both Tontine and Conquistador shelters become transfigured into Castell shelters. Castell shelters derive their name from the ‘human towers’ created in several parts of the Hispanic world – for hundreds of years – originally by family teams of ‘castellers’ at fiestas and competitions. A Castell is actually - and very appropriately - a ‘human tower’ - a family free of real bodies. This process takes between one and three years, involving some (generally small) licence and filing fees.
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A Patrimonio Familiar Shelter | Part Zero: Costs
Evaluation and qualification 1. Proposed Shelter name . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Patrimonio Familiar S.L. 2. Shelter Founder (1) name . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Age . . . . . . . Shelter Founder (2) name . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Age . . . . . . . Shelter Founder (3) name . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Age . . . . . . . 3. Is there any new property to be purchased by the shelter (i.e. not currently in your ownership)?
4. Is there existing property/properties to be sheltered that you currently own?
Date property purchased . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Escritura value of purchase . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Market value today if sold . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5. Are any of these properties rented out
yes
no
6. (If yes to 7.) Do you have a separate office facility available to you?
yes
no
7. Is there an income that you might want to bring into the shelter? Pension Overseas investment income Income not involving trading by the shelter Income involving trading by the shelter 8. Is there any existing business that you are involved in that the shelter might or could embrace?
Š The Quill Group S.L. v1.1, 05C07
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A Patrimonio Familiar Shelter | Part Zero: Costs
Š The Quill Group S.L. v1.1, 05C07
Signed. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Date . . . . . . . . . . . . . . . . . . . . . . . . .
Signed. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Date . . . . . . . . . . . . . . . . . . . . . . . . .
Signed. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Date . . . . . . . . . . . . . . . . . . . . . . . . .
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