Breathtaking views, sun-kissed shores, and tranquility, combined with the potential of a wise real estate investment, makes St. Maarten an irresistible destination for property enthusiasts and people looking to relocate to this unique island.   

BrightPath Caribbean offers complete relocation solutions with our team of experts and professional referral partners. Book a consultation today and start a flawless transition from the USA to St. Maarten.   

Now, let the expertise of  American real estate attorney, André Williams, be your compass to the best direction with three tips if you have been contemplating relocation from the USA to St. Maarten while managing real estate assets.    

 

Why does André Williams like St. Maarten? And what are his expert tips?

I am attracted to St. Maarten like you because of its perfect climate, azure ocean views, and secluded tranquility. It also affords an incredible opportunity to buy a primary or second home or purchase commercial property with a high rate of return. If you are seriously interested in purchasing a property in St. Maarten, you want to engage BrightPath Caribbean to help you find a property. Similarly, I am a real estate attorney and real estate investor so I can help you navigate the process of compliance with US tax rules and provide guidance on estate planning and corporate structuring for your real estate purchase in St. Maarten.   

 

Finding a Property

You should think about purchasing property of any kind in St. Maarten much like pursuing a long-term relationship. You should research the demography of the island and its culture, visit the island and stay in a prospective location long enough to become familiar with the area. You may also want to explore the community of expatriates here and local customs. Vivian and her team at BrightPath Caribbean can help you learn the market and evaluate whether you are getting a “good deal”. The good news is that you have an excuse to pack your bags for this due diligence.  

   

Foreign Ownership Rules  

Many countries have specific limitations on foreign ownership of land. For example, in Mexico, there are limitations on foreign ownership of property within 31 miles of the coast. In other countries, non-citizens may be required to obtain special residence permits or register with a government agency prior to closing a home purchase.   

St. Maarten has no restrictions on foreign ownership and encourages real estate investment by persons from other countries.  

   

U.S. Tax Rules/ Estate Planning/ Corporate Structure  

The last piece of foreign property ownership is accounting for any income or gain you may accrue due to the property. As a U.S. citizen, you are required to report to the IRS on your worldwide transactions. In addition, there are some other very onerous reporting requirements and penalties of $10,000 or more so please consult with me at the beginning of a transaction to ensure that your transaction is structured properly, and you are protected from exposure.   

Foreign real estate can be a smart investment – as long as you do your due diligence upfront, consult with an experienced US-based real estate attorney and advisors, and keep good records as you go. 

 

Do you have any questions?

Contact us today for a free consultation and let us guide you throughout the process!

 

The Caribbean region is a diverse and enchanting destination that not only boasts stunning natural beauty but also holds significant economic potential and investment opportunities. Year after year, more and more individuals are turning their attention to this vibrant area, whether it’s for significant real estate projects or the desire to start a business or retire in a place that offers a better quality of life. As the team at BrightPath Caribbean engages with clients and conducts consultations, one of the most frequently asked questions is: What about banking? 

The answer to this question is not straightforward and depends on several factors. Let’s delve deeper into the world of banking in the Caribbean, with a specific focus on personal and business banking in Sint Maarten. 

When it comes to personal banking in Sint Maarten, opening a personal bank account is only possible if you are a legal resident. The process is quite similar to that of any other banking institution. You will need to provide documents such as your identification or residency document, proof of income, and perhaps a letter of recommendation from another bank. Additionally, you may be required to make an initial deposit to the account. All of these requirements must be fulfilled in person at the bank branch of your preference. If you are interested in opening a bank account but need assistance becoming a legal resident first, we are here to help. Request your free consultation with us, and we will guide you through the process step by step. 

On the other hand, establishing a business bank account in Sint Maarten is a slightly more complex procedure. Fortunately, at BrightPath, our corporate services team is well-equipped to handle your banking needs from start to finish. Setting up a business bank account in Sint Maarten requires an operational business or private fund foundation with all the necessary documentation to prove proper incorporation and fiscal activity. Our team can provide expert guidance and support throughout this process, ensuring a smooth and hassle-free experience for your business. 

When it comes to selecting the right banking institution for your business, it is essential to consider various factors. You will need to assess the services and rates offered by different banks, taking into account the specific requirements of your business model. For example, if your business relies on receiving credit card payments, you may need a bank that provides suitable merchant account services. Alternatively, if your business operates predominantly online, you may require seamless access to online banking facilities. Keep in mind that each service may entail additional documentation and paperwork, so it is crucial to be prepared for these requirements. 

Navigating the process of setting up business bank accounts in Sint Maarten can be quite arduous without proper assistance. That’s where our corporate services team comes in. With our in-depth knowledge of the local banking landscape and our strong network of banking partners, we can guide you through the process, ensuring that you meet all the necessary requirements and can focus on running your business smoothly. 

Banking in the Caribbean, including Sint Maarten, presents a diverse range of opportunities for individuals and businesses alike. The Caribbean banking sector continues to evolve and adapt to the changing needs of its customers. Whether you are a resident, investor, or entrepreneur, exploring the banking options in the Caribbean can provide you with a solid foundation for financial growth and prosperity. 

At BrightPath, we understand the importance of personalized guidance when it comes to banking in the Caribbean. Our dedicated team of experts is here to help you navigate the intricacies of the banking industry, ensuring that you make informed decisions that align with your financial goals. Book a free consultation with our team today, and let us help you explore the exciting world of Caribbean banking. With our support, you can seize the opportunities that this beautiful region has to offer and embark on a path of financial success. 

 

FAQ’s

1. What are the requirements for opening a personal bank account in Sint Maarten, and what assistance does BrightPath offer for individuals who need help becoming legal residents?
To open a personal bank account in Sint Maarten, one must be a legal resident and provide documents such as identification, proof of income, and potentially a letter of recommendation. BrightPath offers assistance in becoming a legal resident through a free consultation, guiding individuals through the process step by step.

2. What is the process for establishing a business bank account in Sint Maarten, and how can BrightPath’s corporate services team simplify this process for businesses?
Establishing a business bank account in Sint Maarten requires an operational business or private fund foundation with proper documentation for incorporation and fiscal activity. BrightPath’s corporate services team can provide expert guidance and support throughout this process, ensuring a smooth and hassle-free experience for businesses.

3. What factors should businesses consider when selecting a banking institution in Sint Maarten, and how can BrightPath assist in navigating these considerations?
Businesses in Sint Maarten should consider factors such as services offered, rates, and specific business requirements like merchant account services or online banking facilities. BrightPath can assist by providing insights into the local banking landscape, helping businesses choose the right banking partner, and guiding them through the process to meet all necessary requirements.

 

Do you have additional questions?

Contact us today for a free consultation and let us guide you throughout the process!

 

For many years, BrightPath Caribbean remains recognized as the most trusted corporate and immigration services provider for St. Maarten and the English Caribbean. For this reason, is that we have in-depth knowledge and proven efficiency and skillset to offer you integrated services such as real estate sale and purchase (in participation with our affiliate BrightFuture Realty), and in the interest of your assets and investments, services such as the creation of Private Fund Foundations, are executed by BrightPath within very short timeframes and with your wishes and estate planning needs in mind.

Every day, a good number of real estate transactions happen in Sint Maarten, and do you know what most big investments have in common? A Private Fund Foundation protecting the asset.

A Private Fund Foundation (PFF), known in Dutch as “Stichting Particulier Fonds” (SPF), is a legal entity protecting assets, investments, or funds. With the assistance and experience of the team of professionals at BrightPath Caribbean, foreigners can create and fully participate in a PFF without the required participation of any external members or shareholders.

Private Fund Foundations can make distributions to the incorporators and others without having a social or charitable purpose. Beneficiaries, if named, can have general or limited rights. When discussing the intents and purposes that you wish to accomplish in the formation of your PFF, rely on the expertise of BrightPath and schedule your free consultation here. Our tax advisory team at CaribTax can support our efforts and offer you the monthly and annual services required to maintain the compliance of your PFF with the local tax authorities.

A Private Fund Foundation can own real estate. However, actively buying and selling real estate may be considered a business or enterprise. Collecting rent from tenants in owned real estate is not a business or an enterprise. If you are considering purchasing real estate in Sint Maarten, your representative at BrightPath can work in collaboration with one of our real estate agents at our affiliate BrightFuture Realty to synchronize the establishment of your PFF before submitting an offer to purchase. This is important to consider especially when you want to ensure that your real estate purchase offer and the establishment of your PFF are contingent upon each other. Short-term rental is subject to a 5% turnover tax (TOT). Rental for permanent residence is exempt from TOT.

Private Fund Foundations are exempt from profit taxes (corporate and income taxes). This exemption rests upon one condition: the PFF does not operate a business or an enterprise for profit. However, the law states that investment activities and acting as a holding company do not qualify as a business or an enterprise. One-time or periodical distributions by a PFF to a resident of Sint Maarten are subject to personal income tax. However, non-resident beneficiaries are not liable to income tax on Sint Maarten if they receive distributions from the PFF. (Please note that this income might be subject to income tax in the country of residence.)

What are the benefits of a Private Fund Foundation in Sint Maarten?

Yes, it is important to point out that you can own real estate in your name (private ownership) and a PFF is not required, especially when considering there are up-front fees involved. Therefore, establishing the benefits of a PFF is essential before deciding to create one with BrightPath.

When owning property in your name, outside of a PFF, income from real estate may be taxed at progressive rates of up to 47,5%. For persons who intend to purchase real estate for vacation or investment purposes, this alone may be a key deciding factor.

Additionally, matters regarding inheritance tax may also surface without the protection of a PFF. So, if you are considering retirement and/or estate planning it is essential to mention that a PFF is not subject to inheritance tax, alleviating your beneficiaries of any financial burdens in your inheritance planning.

When selling one or more real estate assets held by the PFF, transfer tax that is usually absorbed in full by the buyer (four percent of the value of the sale-purchase transaction) will not be applicable, as the PFF can be transferred with all assets it holds. This adds a layer of benefit to any prospective buyer on the property as the savings on the transfer tax would be attractive in the form of savings to any interested buyer.

The PFF is a legal entity, and therefore the assets contributed to the PFF are considered assets of the PFF and no longer of the contributor. Without a PFF in place, it is important to consider that you may be exposed to minimal or no asset protection in case something happens with your investments (for example, bankruptcy and/or legal or federal claims).

Other benefits of a Private Fund Foundation to consider include:

Total Foreign Participation: A Sint Maarten PFF can be formed by a foreign founder and have foreign beneficiaries and a board of directors.

Privacy: If beneficiaries are appointed, their names never appear in any public records. Additionally, you can use BrightPath’s registered address service, adding an extra layer of privacy to your PFF.

Time for Formation: With BrightPath, a Sint Maarten Private Fund Foundation can be formed and registered as fast as two business days if required by our client(s).

Private Fund Foundations are widely used in Sint Maarten to protect real estate assets and appoint specific beneficiaries. 

A PFF will help you protect your investment for future generations.

Start Today!

Start the process for your Private Fund Foundation today with our group. Many clients looking for properties for sale in SXM as an investment or for personal use, book a consultation with BrightPath Caribbean and its affiliate companies, CaribTax and BrightFuture Realty.

BrightPath can offer you the necessary services to create your Private Fund Foundation and offer you real estate, banking, and tax advisory services if you require them.

CaribTax can assist you with the annual declarations for your PFF, and the agents at BrightFuture Realty will help you in your search for the perfect property.

Book a consultation with our team and let us assist you in the formation of your PFF to protect your real estate investment. If you already own real estate in your name and you wish to transfer the ownership out of your name and into a PFF, BrightPath can assist with this process too in conjunction with the closing agent (notary) of your choice. Our experience and services are available for the protection of your valued assets and with consideration for your planning and it’s one free consultation away, by starting here.

FAQ’s

1. What is a Private Fund Foundation (PFF) and how does it protect assets in St. Maarten? A Private Fund Foundation (PFF) is a legal entity designed to protect assets, investments, or funds in St. Maarten. It allows individuals to create and participate in a PFF without requiring external members or shareholders. The PFF can distribute funds to designated beneficiaries and is exempt from profit taxes as long as it does not engage in business activities for profit.
2. What are the benefits of establishing a Private Fund Foundation in St. Maarten for real estate ownership? Establishing a PFF in St. Maarten offers several benefits, including exemption from profit taxes, protection against inheritance tax, and avoidance of transfer taxes when selling property held by the PFF. Additionally, a PFF provides asset protection in case of bankruptcy or legal claims and offers privacy for beneficiaries as their names do not appear in public records.
3. How quickly can a Private Fund Foundation be formed in St. Maarten with BrightPath’s assistance? With BrightPath’s assistance, a Private Fund Foundation in St. Maarten can be formed and registered in as fast as two business days if required. BrightPath offers services for creating PFFs, as well as real estate, banking, and tax advisory services, ensuring a comprehensive approach to asset protection and estate planning.

Do you have additional questions?

Contact us today for a free consultation and let us guide you throughout the process!

 

Turquoise-blue water, pearl white sand, and lush palm trees. We all dream of visiting the Caribbean at least once in our lifetime. Some are lucky enough to not only visit the gorgeous Caribbean islands but also find a home to move to the Caribbean permanently.

But let’s not get ahead of ourselves right away. While you may want to immigrate to the Caribbean one day in your life, now let’s talk about a much-deserved vacation to the Caribbean islands.

So how do you pick the best Caribbean islands out of the 28 countries and 750 islands? It’s simple: take inspiration from this blog and add these five stunning Caribbean islands to your bucket list. We also have a reason for you to visit each of these places!

St. Kitts and Nevis

St. Kitts and Nevis is a sister island in the Caribbean that’s known for one of the richest heritage and architectural buildings. St. Kitts and Nevis is also a golfer’s paradise as the island has a wide range of golfing activities you can indulge in. Do you want to transport yourself back to the 1800s? Visit the historical sites on this sister island.

Anguilla

If you want to live in the Caribbean like a free spirit, visit Anguilla. Anguilla is the dream destination for sports enthusiasts, known for some of the best water sports activities, including snorkeling and scuba diving.

Belize

Belize is known for its coral reefs, buzzing nightlife, and great contemporary infrastructure. If you want to experience a luxurious vacation in the Caribbean, then Belize is the place you need to be. Offering a wide range of activities, beaches, and cuisine, Belize has it all in one place.

Antigua and Barbuda

The land of 365 beaches! Antigua and Barbuda is presumably the only island in the world with 365 beaches. So if you’re a fan of exotic scenery, delicious Caribbean cuisine, and ferry boats, head over to Antigua and Barbuda. This island will offer you both a boho-chic feel and a metropolis vibe with its unique island life.

St. Maarten

And if you ever want to move to the Caribbean for good, then visit St. Maarten once. This part Dutch and part French island is known as the Friendly Island and is a hub of everything amazing. From vibrant city life to multiculturalism, St. Maarten has everything you wish for in a place.

At BrightPath Caribbean, we offer immigration consultancy and business incorporation services. If you wish to relocate to the Caribbean and start a new life, reach out to us.