Cross-Border Wealth Planning Hub

Enduring Power of Attorney : Step-by-step execution guide (for donor, lawyer, doctor, attorney)

Sun, 07 Sep 2025 13:19:38 GMT

EPOA covers property/financial matters only (not medical/welfare). If that’s your aim, proceed.

Phase 0 — Decide & Set Up

Confirm suitability
EPOA covers property/financial matters only (not medical/welfare). If that’s your aim, proceed.
Choose attorney(s)
Pick trusted adult(s) with strong financial hygiene. Consider one primary plus a replacement .
Decide structure

Form 1 = single attorney.
Form 2 = two or more attorneys; choose how they act: jointly or jointly and severally (and whether a substitute steps in).

Define any limits
You may include reasonable restrictions (e.g., “no sale of home without X’s written consent”). Keep wording simple—do not alter the statutory text outside the permitted blanks.
Pick languages & copies
English, Chinese, or bilingual. Plan 2–3 originals (one for safe custody, one for registration if needed, one for attorney).

Phase 1 — Prepare the Prescribed Form

Use the correct prescribed form (Cap. 501A)
Fill in donor and attorney details (full name, HKID, address). Do not re-draft or re-order statutory words.
Attach scheduling page (if needed)
If you include restrictions/conditions, use the form’s designated spaces or continuation sheet; keep cross-references clear.
Book the two professionals

A Hong Kong solicitor (to interview the donor and give the solicitor’s certificate).
A Hong Kong registered medical practitioner (to assess and certify capacity).

Phase 2 — Signing & Certification (the critical sequence)

Identity & capacity check (doctor)
Donor attends with HKID. Doctor interviews, assesses capacity, then signs the doctor’s certificate on the form.
Independent explanation (solicitor)
Donor meets the solicitor without anyone exerting influence . Solicitor explains nature/effect of an EPOA, confirms voluntariness, and signs the solicitor’s certificate .

Notes
• The doctor and solicitor appointments can be same day or different days (close in time is best).
• Each professional must be satisfied independently.
• Avoid having an intended attorney in the room during the solicitor interview.

Donor signs the EPOA
Donor signs in the presence of the doctor and the solicitor as required by the prescribed form (each provides their certificate). Initial every page if the firm’s practice requires. Do not leave blanks. No Tip-Ex. If an error occurs, re-print and re-sign.
Attorney(s) sign acceptance
Each attorney signs the acceptance portion. Arrange a competent adult witness (commonly the solicitor). If multiple attorneys, each may sign separately.
Check completion

Donor signature complete.
Doctor certificate complete (dated, signed, name & reg. number).
Solicitor certificate complete (name, firm, Roll no.).
Attorney acceptance(s) signed and witnessed.
Page count consistent; any continuation sheets referenced correctly.

Phase 3 — After Execution (while donor is still capable)

Safe custody
Store an original in firm vault or a fireproof safe. Keep an indexed certified true copy set.
Institution readiness
Some banks/utilities note existence of an EPOA but may not act on it unless/until registered on incapacity. Log a contact list of relevant institutions.
Revocation protocol (optional now)
If donor later wishes to revoke while capable, prepare a written revocation, notify the attorney(s) and institutions, and retrieve/destroy originals/certified copies.

Phase 4 — When the donor becomes mentally incapable

Obtain current medical evidence
Attorney arranges a recent medical opinion confirming loss of capacity.
Apply to register the EPOA with the High Court
Attorney files the required application with the original EPOA and supporting papers (per Cap. 501/501A practice). Keep filing receipts and the registration confirmation .
Post-registration use
Once registered, attorney may act under the EPOA with institutions. Keep a decision log (dates, transactions, reasons) and maintain accounts for transparency.

Phase 5 — Ongoing governance & endpoints

Attorney duties
Act in donor’s best interests, avoid conflicts, keep donor’s money separate, keep records, and follow any restrictions in the EPOA.
Changes / termination

Donor’s death → EPOA ends (estate then handled by executor/administrator).
Donor’s revocation while capable → ends upon proper notice.
Attorney’s resignation or becoming unable → follow replacement mechanics in the EPOA.
Court can intervene if abuse or dispute arises.

Practical Tips & Pitfalls (1-minute checklist)

Use prescribed forms only ; never re-draft statutory wording.
Keep the doctor & solicitor certificates pristine and complete.
Avoid influencers in the room when the donor meets the solicitor.
Prefer clear, minimal restrictions to avoid bank refusals.
Keep multiple certified copies ready.
Maintain an action log & accounts once the attorney starts acting.

Wills in the UK for Hong Kong Migrants

Sun, 07 Sep 2025 06:00:46 GMT

For Hong Kong migrants in the UK, a UK will is not just advisable, it is essential . It works alongside your Hong Kong will to protect assets in both jurisdictions and ensures a smoother, quicker estate administration.

1. Why a UK Will Is Needed

Once you become resident in the UK, you will often open local bank accounts, buy property, or invest in UK assets.
A Hong Kong will does not automatically cover UK assets. If you only have an HK will, your family may face delays and extra costs resealing or proving it in the UK.
A separate UK will ensures your UK-situs assets are dealt with quickly under English law.

2. Dual Will Structure (HK + UK)

Hong Kong Will – covers only HK assets (real estate, HK company shares, HK bank accounts).
UK Will – covers only UK assets (property, bank accounts, investments).
This avoids conflict between jurisdictions and speeds up probate.
The two wills are drafted carefully so that one does not revoke the other.

3. Formal Requirements for a Valid UK Will

Must be in writing.
Signed by the testator (you) in the presence of two independent witnesses .
Witnesses must also sign in your presence.
Witnesses cannot be beneficiaries.

4. Tax Considerations

The UK levies inheritance tax (IHT) at 40% on UK assets above the £325,000 threshold, even for non-dom migrants.
A UK will does not eliminate tax exposure — it only ensures your assets are distributed according to your wishes.
Trust planning (e.g. Excluded Property Trust) is required for IHT mitigation.

5. Practical Example

Mr. Chan (Hong Kong BN(O) migrant) buys a house in London worth £1.2M.
If he dies with only a Hong Kong will, his family may face months of cross-border probate.
With a UK will , executors can apply for a UK Grant of Probate directly, speeding up access to the house and bank accounts.

6. Key Takeaways for HK Migrants

Always maintain two wills : one in Hong Kong and one in the UK.
Ensure the wills are co-ordinated (to avoid accidental revocation).
A UK will is essential for:
Owning UK property
Holding UK bank or brokerage accounts
Minimising probate delays for your family

✅ Summary :
For Hong Kong migrants in the UK, a UK will is not just advisable, it is essential . It works alongside your Hong Kong will to protect assets in both jurisdictions and ensures a smoother, quicker estate administration.

What is an Excluded Property Trust (EPT)?

Sun, 07 Sep 2025 05:53:13 GMT

An Excluded Property Trust (EPT) is a type of trust used by non-UK domiciled individuals (such as Hong Kong citizens moving to the UK) to protect their overseas assets from UK Inheritance Tax (IHT) .

�� Key Features

Who can set it up?
Non-UK domiciled persons, ideally before becoming UK tax resident .
What goes into it?
Non-UK assets such as Hong Kong shares, bank deposits, investment portfolios, offshore companies.
Excluded Property
Assets settled into the trust remain “excluded property” and are not subject to UK IHT , even after the settlor becomes UK deemed domiciled.
Governed by
Offshore jurisdictions (e.g. BVI, Cayman, Bermuda, or even Hong Kong trust law) for flexibility and protection.

�� Example

Mr. Lee (HK resident) has HK$100M in Hong Kong shares and cash.
Without EPT: If he later dies UK domiciled → 40% UK IHT = £40M tax .
With EPT (set up before moving): Assets are excluded → 0% UK IHT .

⚠️ Important Notes

Must be set up before UK residency to qualify.
UK assets (e.g. UK real estate) cannot be sheltered in an EPT.
Trust must be properly structured with professional trustees and compliance (CRS/FATCA, TRS registration if UK-connected).

✅ Takeaway :
An EPT is the key planning tool for Hong Kong migrants under the BN(O) 5+1 visa scheme , ensuring wealth is preserved across generations without falling into the UK’s 40% inheritance tax net.

Brief Advice for Hong Kong Migrants Moving to the UK (New UK Tax Regime)

Sun, 07 Sep 2025 05:50:22 GMT

Moving to the UK under BN(O) brings exposure to a completely different tax regime. Early trust and estate planning before migration is critical to preserve wealth and avoid the 40% IHT trap.

1. UK Inheritance Tax (IHT) Risk

The UK levies 40% inheritance tax on worldwide assets once you are deemed domiciled (after 15 years, or sooner in some cases).
Hong Kong has no estate duty — so this is the biggest new tax risk for migrants.
Planning Tip : Settle an Excluded Property Trust (EPT) before becoming UK resident. This keeps HK/offshore assets outside the UK IHT net.

2. Income Tax & Capital Gains Tax (CGT)

UK taxes residents on worldwide income and gains (unless protected by non-dom rules).
From April 2025, the “non-dom regime” is being tightened — benefits will be limited.
Planning Tip : Consider “pre-entry cleansing” — rebasing portfolios, realising gains, and restructuring holdings before moving.

3. Double Will Structure

Keep a Hong Kong will for HK assets and a UK will for UK assets.
This avoids conflicts and speeds up probate.

4. Banking & Compliance

Any trust or offshore structure may trigger UK Trust Registration Service (TRS) if it holds UK assets or opens UK bank accounts.
Banks must comply with CRS/FATCA reporting , so beneficial ownership cannot remain secret.

5. Roadmap for Migrants

Before Moving – Settle EPT, restructure investments, prepare dual wills.
At Arrival – Register with HMRC, consider remittance basis (if still applicable).
First 5 Years – Annual compliance reviews; trust/trustee reporting.
Year 6+ – Monitor domicile status; refresh estate plan.

✅ Key Takeaway :
Moving to the UK under BN(O) brings exposure to a completely different tax regime. Early trust and estate planning before migration is critical to preserve wealth and avoid the 40% IHT trap.

Should I Set Up a Family Trust in Hong Kong?

Sun, 07 Sep 2025 05:45:00 GMT

Compare the benefits of holding assets personally vs using a trust.

✅ No Probate Delay – assets pass smoothly without court approval.
✅ Creditor & Divorce Protection – trust assets are ring-fenced.
✅ Private & Confidential – no public registry in HK.
✅ Professional Management – trustees safeguard wealth.
✅ Multi-Generational Planning – wealth preserved beyond one generation.

⚠️ Probate Required – takes 6–12 months (or longer).
⚠️ Exposed to Claims – creditors or divorce settlements may reach assets.
⚠️ Public Process – wills filed in court are open records.
⚠️ Risk of Disputes – beneficiaries manage assets directly.
⚠️ One-Generation Limit – new probate needed each time.

✅ Key Takeaway

“A Hong Kong Family Trust doesn’t save tax — but it protects your assets, avoids probate delays, and ensures your wealth is managed for future generations.”

�� Contact Yip, Tse & Tang Solicitors
For a confidential consultation on Family Trusts & Succession Planning in Hong Kong
�� Office A2, 35th Floor, United Centre, No.95 Queensway, Admiralty, Hong Kong

☎️ 62149999

HOLIDAY GREETINGS - MERRY CHRISTMAS

Sat, 26 Nov 2022 08:15:11 GMT

All members of Yip Tse & Tang wish you a Merry Christmas and Happy New Year.

“Gifts of time and love are surely the basic ingredients of a truly merry Christmas.” – Peg Bracken

ADMIRALTY OFFICE MOVED TO UNITED CENTRE

Tue, 22 Nov 2022 08:19:32 GMT

The office is located at Office A2, 35th Floor, United Centre, No.95 Queensway, Admiralty, Hong Kong.

The beautiful wedding hall adds romance and excitement to the wedding of the newlyweds, and the venue can accommodate many people. There are more than 10 other theme layouts for newcomers to choose at will. For details, visit www.ytt.best.

Each hall also provides Sunday and holiday wedding (wedding) services, please call or WhatsApp wedding specialist 65386538 for reservations.

Admiralty Office Address Telephone:

Office A2, 35th Floor, United Centre,

No.95 Queensway, Admiralty, Hong Kong

Special page for lawyers to witness marriage: www.ytt.best

Inquiry or appointment: 8209-9999 / WhatsApp: 6538-6538

Law firm wedding hall (including government fee $305)

Monday to Friday 10:00-12:30 / 2:30-5:30

Indoor $1900, sky garden $2200

Saturday 10:00-12:30 Flat $2500

Other times and public holidays $2900

Webinar on Wills - Cantonese

Mon, 22 Apr 2019 07:09:39 GMT