AN Employee Benefit Trust, an (“EBT”) may be established by a company for the benefit of its employees and their families. The company may transfer funds to the EBT for the present or future benefit of their employees.
ADVANTAGES
The EBT may accumulate or retain benefits because they may e.g. be conditional on performance.
Benefits can be paid or transferred in many different ways, e.g. shares.
The employee is able to see the accumulation of their potential benefits with an independent trustee.
An EBT can subscribe for and deal on the shares of a private company, thus creating a market.
CREATION
AST can assist in the establishment and the provision of trustees for Jersey and UK EBTs.
TAXATION
Except in connection with Jersey residents or Jersey source income, other than bank interest, EBTs are not taxed in Jersey.
