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The world's richest are hiding their funny money in the Bahamas, the Cayman Islands, Malta, and Sioux Falls.

Wait wut.

The sparsely populated state best known as the home of Mount Rushmore, now houses $360 billion in trusts, the ICIJ reported — an amount that has quadrupled over the past decade. One local company, the South Dakota Trust Company, has international clients from 54 nations. Another, Trident Trust, speaks of the "South Dakota Advantage."

The South Dakota Advantage? Guess that's the dynasty trust — a three-part legal vehicle that has become increasingly popular as a way to transfer wealth between generations without paying taxes.

Until the mid-1980s, the lifetime of a trust was limited to around a century — a limit that was intended to curb the intergenerational power of the wealthy, according to the Guardian. But in 1983, South Dakota abolished that limit, allowing a trust to live on in perpetuity. That change turned the state — which has no income tax, no inheritance tax and no capital gains tax — into an attractive destination for family wealth.

Umm.


https://www.cbsnews.com/news/pandora-papers-tax-haven-south-...
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