«The Liechtenstein common-benefit foundation: a mainstay of the Principality’s financial centre strategy»

The charitable foundation in Liechtenstein is a central component of the Principality's financial strategy. Since the revision of the Foundation Act in 2008, charitable foundations in Liechtenstein have been under state supervision. Today there are more than 1,200 such foundations, which benefit from liberal legal regulations and membership of the European Economic Area. This enables the free movement of people and capital within the EU single market.

The Association of Liechtenstein Charitable Foundations (VLGS), founded in 2010, supports these foundations through networking and the development of management standards. According to a survey, these foundations distribute significant amounts each year, with only a small proportion remaining in the region.

Liechtenstein offers a stable political environment and a liberal legal framework, which makes it attractive for founders. The University of Liechtenstein contributes to the further development of the foundation sector through research and education. Future challenges include stricter regulations and the need for greater transparency.

Topics in the publication

• Philanthropy and sustainability
• Importance of charitable foundations for Liechtenstein
• How a Liechtenstein foundation works
• Individual solutions, expertise and stability
• Tax treatment of foundations in Liechtenstein
• International networks of foundation jurisdictions
• Future legal developments in Liechtenstein and worldwide