Cook Islands Trust Legislation
Cook Islands statute sets requirements for international trusts and regulates trustee companies.
International trust requirements
A Cook Islands international trust must meet three requirements: registration in the Cook Islands, at least one qualifying trustee, and beneficiaries who remain non-resident there.[1]
The qualifying trustee categories are a Cook Islands trustee company, an international company, or a registered foreign company.[1]
Beneficiaries must be neither domiciled nor ordinarily resident in the Cook Islands.[1]
Trustee company regulation
The Financial Supervisory Commission says that any person carrying on trustee company business in the Cook Islands is subject to the Trustee Companies Act 2014, and that applications for a trustee company licence are lodged with the Commission.[2]
Companies carrying on trustee business in the Cook Islands must hold a Financial Supervisory Commission licence.[3]
Licensed Cook Islands trustee companies must maintain at least NZD 250,000 of paid-up share capital, hold professional indemnity insurance, and file audited annual accounts.[4]
Key points
An international trust must be registered in the Cook Islands.[1]
Related reading
Cook Islands trusts and U.S. reporting rules gives a broader jurisdiction guide. Cook Islands trustee business and licensing focuses on trustee business licensing, while Cook Islands courts and legal system covers courts and legal sources. Cook Islands reporting and U.S. trust forms connects the topic to reporting information.
Questions and answers
What does a Cook Islands international trust require?
A Cook Islands international trust requires Cook Islands registration, at least one trustee within the specified qualifying categories, and beneficiaries who remain non-resident in the Cook Islands.[1]
Which authority regulates trustee company businesses?
Trustee company business in the Cook Islands is subject to the Trustee Companies Act 2014. Licence applications are lodged with the Financial Supervisory Commission.[2]
Related resources
Related glossary terms
- Section 679: Section 679 addresses certain transfers by U.S. persons to foreign trusts. It treats some property transfers as ownership when the trust has a U.S. beneficiary.
- Trust variation: Trust variation means a change to a trust's terms or powers. Jersey, Cayman Islands and Bermuda laws and the Hague Convention address related terms and rules.
Related articles and guides
- Liechtenstein Trust Types and Foundations: Liechtenstein's trust registration rules and the characteristics of its foundations, including purpose and assets as well as beneficiary and capital details.
- Guernsey Trust Legislation: Guernsey's principal trust statute and selected rules on powers and trustees, protectors, trust duration and purpose trusts, for U.S. citizen readers.
- Cyprus international trust legislation: Cyprus's principal statute for international trusts, with its subject areas and structure, and the place where the consolidated text is published for readers.
Tools and official documents
- FinCEN Report 114 (FBAR): foreign account reporting: FinCEN Report 114 (FBAR) for U.S. citizens: account definitions, financial interests, signature authority, trust provisions and the filing requirements it sets.
Related pages
Sources and data notes
- alperlaw.com, Cook Islands Trusts for Non-U.S. Settlors: Australia, Canada, the U.K., and New Zealand. https://www.alperlaw.com/offshore/cook-islands-trust/non-us-settlors/. Retrieved .
- Financial Supervisory Commission, Trustee Companies. https://www.fsc.gov.ck/public/content.aspx?cn=TrusteeCompanies. Retrieved .
- alperlaw.com, Cook Islands Trust vs. Nevis Trust Comparison. https://www.alperlaw.com/offshore/cook-islands-trust/comparisons/cook-islands-trust-vs-nevis-trust/. Retrieved .
- alperlaw.com, Offshore Trustees: What They Do, Who Can Be One, and What They Cost. https://www.alperlaw.com/offshore/offshore-trust/offshore-trustees/. Retrieved .
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