> The trust could buy US property. The US tax policy deliberately draws that line, though, on the grounds that there's only 2 ways for that trust to exist: (a

> The trust could buy US property. The US tax policy deliberately draws that line, though, on the grounds that there's only 2 ways for that trust to exist: (a) the income was earned outside the US. The US says this isn't taxable until or unless it comes into the country for corporate or personal use. See slides 10 - 12 of https://www.irs.gov/pub/int_practice_units/FEN9434_02_01R.pdf https://www.irs.gov/pub/int_practice_units/FEN9434_02_01R.pd... for more - basically, if any party treats it as a personal bank account, it's not a trust. (b) the income was earned inside the US, and thus already passed through the US (and taxes were paid on it) before it was moved to the trust. Moving it to the trust isn't a taxable event, and any gains will be taxed if or when they are brought into the country (see (a)). Don't trust me, though, form your own opinion. These are good summaries of what an offshore trust can and can't do: * https://www.irs.gov/pub/int_practice_units/FEN9434_02_01R.pdf https://www.irs.gov/pub/int_practice_units/FEN9434_02_01R.pd... * https://en.wikipedia.org/wiki/Offshore_trust https://en.wikipedia.org/wiki/Offshore_trust * http://nomadcapitalist.com/offshore-trust/ http://nomadcapitalist.com/offshore-trust/ (covers a few countries) * https://www.theguardian.com/business/2016/apr/08/offshore-trusts-tax-avoidance-explainer https://www.theguardian.com/business/2016/apr/08/offshore-tr... (UK-specific but interesting)