Offshore Funds

Having represented various funds, fund managers, trustees and both U.S. and non-U.S. investors, Chapman and Cutler Tax Department attorneys have worked on numerous occasions, with a variety of offshore funding matters and advised clients on how to resolve the legal implications related thereto.

Whether a fund is parallel, stand-alone, in or out-bound, our attorneys are particularly sensitive to the needs of all of our transaction participants.

From an outbound perspective, the Tax Department has repeatedly dealt with tax characterization, foreign tax credit, controlled foreign corporation and passive foreign investment company issues. In-bound funds require insights into doing business, source rules, characterization, withholding, reporting and disclosure issues. We are also comfortable with treaty qualification issues from in-bound or out-bound perspectives.

Related Practices

Representative Transactions

• Our attorneys have structured in-bound investment funds for non-U.S. citizens, including structure variations for the particular needs of Kuwaiti and Saudi Arabian citizens.
• We were retained to structure out-bound real estate investment funds targeting undervalued real estate in France.
• Chapman also structured out-bound investment funds targeting undervalued technology stocks in Asia.
• We were retained to structure in-bound investment funds targeted to citizens of India.
• The firm structured an in-bound investment fund to acquire distressed aircraft.
• Additionally, we structured an in-bound investment fund to acquire distressed real estate.
• We counseled a collateral manager and sponsor of CDO transactions used to provide financing for pools of MBS, CMBS and similar assets, including hedging and credit default related components.
• The firm was chosen to represent investors in funds organized to invest in Australia, China and India.