Exit tax planning strategies using offshore foundations for HNWIs in 2025. Understanding Exit Tax for HNWIs in 2025 As global tax regulations tighten, High Net Worth Individuals (HNWIs) face growing challenges in preserving their wealth during cross-border relocations. Exit tax — a levy on unrealized gains upon leaving a country — is now a primary concern for those considering expatriation or offshore strategies. Why Offshore Foundations Work Offshore foundations, especially in asset-protective jurisdictions like Panama or Liechtenstein, serve as strategic vehicles for shielding wealth. Unlike trusts, foundations are legal entities that can hold and manage assets, reducing personal ownership exposure — which is key when calculating exit tax liabilities. 3 Key Strategies for Exit Tax Optimization Pre-Exit Asset Transfer: Assign assets to a foundation before official relocation, reducing direct taxable events. Step-Up Valuation: Utilize local rules to reset asset values up...