Snapshot: tax considerations for private clients in Liechtenstein

Legal Framework

What key legislation and regulations are relevant to foreign individuals moving to or investing in your jurisdiction? What government bodies are charged with enforcing these laws and what is the extent of their powers?

As a member of the European Economic Area (EEA), Liechtenstein applies the basic principles of EU law, with certain exceptions.

Regarding the residence of natural persons, several restrictions apply. Residence permits are issued twice a year by drawing lots for both employed and non-employed persons, or regularly by application. Half of the permits are awarded by drawing lots, with the other half awarded directly by the government.

According to articles 19 and 20 of the Free Movement of Persons Act (PFZG, LGBl. 2009 No. 348), a residence permit may be issued upon application to a person with EEA or Swiss nationality who pursues long-term, gainful employment in Liechtenstein if engaging in an activity as a cross-border commuter is not reasonable. Apart from that, residence permits may also be issued to EEA nationals by drawing lots. In the latter case, it is not necessary to show that engaging in an activity as a cross-border commuter is not reasonable.

For non-EEA or Swiss nationals, the Foreign Nationals Act (AuG, LGBl. 2008 No. 311) is relevant. Residence permits for purposes of employment may be granted only to managers, specialists and other qualified employees with a completed apprenticeship or many years of professional experience (article 14 of the Foreign Nationals Act).

Individuals who do not pursue gainful employment in Liechtenstein must have sufficient financial means so that no recourse to social assistance will be necessary. For persons with EEA or Swiss citizenship, article 22 of the Free Movement of Persons Act applies - namely, they must also prove that they have the legally required health insurance coverage for all risks in Liechtenstein. For people without EEA or Swiss nationality, article 20 in conjunction with article 26 of the Foreign Nationals Act applies - namely, the foreigners must be of particular interest to the country, have adequate housing, the legally required health insurance coverage must be given for all risks in Liechtenstein and they must have had no prior convictions for a crime or misdemeanour. EEA nationals who do not pursue gainful employment in Liechtenstein may also be awarded a residence permit by way of the lottery procedure (by drawing lots).

As a rule, the residence permit 'B' (which may be obtained by draw or application) is valid for five years (one year for citizens of third-party states). There are also short-term residence permits 'L' for specific purposes (eg, short-term employment, study, training, etc).

The application for consideration or participation in the draw must be submitted to the Office for Migration and Passports of Liechtenstein.

In the selection procedure, the government makes the decision at its discretion where reasons concerning public interest play a key role.

Decisions of the administrative authorities can principally be opposed by filing an appeal with the government. It is possible to file an appeal to the Supreme Administrative Court against decisions of the government.

Are there any particular rules or restrictions on foreign individuals purchasing or investing in real property in your jurisdiction?

The acquisition of real property is regulated by the Land Transfer Act. Its objectives are to protect against excessive alienation and to prevent the concentration of properties in the hands of a few. In this sense, both the acquisition of land ownership and the acquisition of certain rights to land (construction and pre-emption rights, rights under long-term rental and lease agreements, etc) are subject to an authorisation requirement that applies irrespective of whether a property is purchased, donated or exchanged. The permit depends on the assessment of a legitimate interest in the intended purchase of real property (articles 5 and 6 of the Land Transfer Act). For example, a legitimate interest is given if the property to be acquired serves the acquirer or their family to cover an already existing domestic residential need and the acquirer is domiciled in Liechtenstein.

Persons with EEA nationality can acquire land under the same conditions as Liechtenstein nationals. Individuals from third countries, however, may acquire land for residential purposes only after 10 years of residence in Liechtenstein (exemptions exist in relation to persons who are taxed on a flat rate basis). The acquisition of a property requires a valid residence, settlement permit or a corresponding assurance.

Are there any particular rules or restrictions on foreign individuals establishing a business in your jurisdiction?

Liechtenstein does not impose specific restrictions on foreign individuals within the process of establishing a business. However, depending on the chosen legal structure, a national address of an authorised agent or legal representative may have to be recorded in the commercial registry. In addition, the criteria necessary to obtain a business licence must be fulfilled.

Tax

How does an individual become taxable in your jurisdiction?

The Liechtenstein tax system is based on a general wealth tax with supplementary income tax for individuals and income tax for legal entities. Liechtenstein nationals are taxed on their worldwide income and assets if they are domiciled in Liechtenstein.

The Liechtenstein Tax Act is primarily applicable to natural persons who have their domicile in Liechtenstein or reside in Liechtenstein for the purpose of employment.

The general tax rate is calculated based on taxable income, including the assets converted into income, as follows (as of 1 January 2025):

• less than 15,855 Swiss francs per annum, 0 per cent;
• between 15,856 and 21,140 Swiss francs, 1 per cent (minus 159 Swiss francs);
• between 21,141 and 42,280 Swiss francs, 3 per cent (minus 581 Swiss francs);
• between 42,281 and 73,990 Swiss francs, 4 per cent (minus 1004 Swiss francs);
• between 73,991 and 105,700 Swiss francs, 5 per cent (minus 1,744 Swiss francs);
• between 105,701 and 137,410 Swiss francs, 6 per cent (minus 2,801 Swiss francs);
• between 137,411 and 169,120 Swiss francs, 6.5 per cent (minus 3,488 Swiss francs);
• between 169,121 and 211,400 Swiss francs, 7 per cent (minus 4,334 Swiss francs); and
• more than 211,401 Swiss francs, 8 per cent (minus 6,488 Swiss francs).

The tax for single parents and married couples may be calculated differently. The tax rate shall be reduced by a specific tax-free amount as follows: individuals are taxed as a single person, a single parent or with their spouse as a married couple. Spouses have different tax levels and higher tax-free amounts than single persons and single parents.

In addition to the state tax, each municipality imposes a municipal surcharge equal to a certain percentage of the state tax amount. The municipal supplement amounts to between 150 and 250 per cent of the state tax amount.

What, if any, taxes apply to an individual’s income?

In Liechtenstein, individuals are subject to income and wealth tax. Income tax is calculated based on taxable income. Wealth tax applies to all kinds of assets, including movable and immovable assets. Many proceeds are not subject to profit and income tax but are subject to wealth tax (no double taxation). Even though general taxpayers have full (global) tax liability, their taxable income does not include, for example, income from the management of foreign land used for agricultural and forestry purposes or rental and leasing income from property located abroad (net taxable income). Further, taxable income does not include, for example, capital obtained from inheritance, legacy or gifts.

What, if any, taxes apply to an individual’s capital gains?

Capital gains from the sale of elements of moveable and immovable personal assets and capital gains from the sale or liquidation of holdings in legal entities and unrealised capital gains from such holdings are principally exempt from income tax. Capital gains from the sale of real estate are subject to a separately assessed property gains tax.

What, if any, taxes apply if an individual makes lifetime gifts?

Since 1 January 2011, no gift tax has existed in Liechtenstein. There is still, however, a legal obligation to disclose the donation or receipt of gifts exceeding the value of 10,000 Swiss francs. Individuals are obliged to list all endowments and benefits given or received during the taxable year in their annual tax declaration (see article 96 of the Tax Act).

What, if any, taxes apply to an individual’s transfers on death and to their estate following death?

Liechtenstein abolished inheritance tax with effect from 1 January 2011. There is still a legal obligation to disclose inherited assets. Heirs must include details of their inheritance in their annual tax declaration if the inheritance exceeds 10,000 Swiss francs (see article 96 of the Tax Act).

What, if any, taxes apply to an individual’s real property?

Liechtenstein levies property gains tax, which shall be paid by individuals selling the whole or parts of their domestic property. Specific regulations exist to avoid double taxation.

The tax must be paid by the seller as they receive the final profit of the disposal. The tax burden consists of the calculated tax amount plus a levy of 200 per cent of this calculated amount. Municipal tax is not applicable to real estate transactions.

What, if any, taxes apply on the import or export, for personal use and enjoyment, of assets other than cash by an individual to your jurisdiction?

Regarding taxation on imported products, Liechtenstein is subject to Swiss and European Economic Area (EEA) regulations because of its EEA membership. An individual is entitled to bring goods of a value of up to 150 Swiss francs (as of 2025) across the border for personal use or as gifts without paying any tax or customs on imported products (duty-free limit). Each individual (including children) may use the duty-free limit once a day (eg, four persons may import goods of a value of 600 Swiss francs, which would be 150 Swiss francs each). Lower duty-free limits apply to alcohol, tobacco products and certain agricultural products (eg, meat). Value-added tax (VAT) must be paid for all goods.

What, if any, other taxes may be particularly relevant to an individual?

Motor vehicle tax may be relevant to resident individuals.

Concerning VAT, Swiss regulations are applicable. VAT is applicable in Liechtenstein at a general rate of 8.1 per cent. A reduced VAT rate of 2.6 per cent applies, for instance, to the delivery of goods, such as water in pipes, livestock, poultry, fish or cereals. Some services are VAT-exempt, such as medical treatment.

The tax on accommodation services is 3.8 per cent (special rate). Accommodation services incorporate the provision of accommodation including breakfast, even if this is charged separately.

What, if any, taxes apply to trusts or other asset-holding vehicles in your jurisdiction, and how are such taxes imposed?

According to article 44 of the Tax Act, all legal entities (in particular, corporations, establishments, foundations, investment firms and registered trusts) are subject to income tax if they are domiciled in Liechtenstein or if their place of actual administration is in Liechtenstein (unlimited tax liability). Further, foreign legal entities and special dedications of assets without legal personality are subject to income tax with their domestic income (limited tax liability).

Income tax amounts to 12.5 per cent of the taxable net income. The minimum income tax is 1,800 Swiss francs. The minimum income tax does not apply to legal entities whose sole purpose is operating a commercial business if their total assets, on average for the past three years, have not exceeded 500,000 Swiss francs (see article 62 paragraph 3 of the Tax Act). Liechtenstein trusts are subject to the minimum income tax of 1,800 Swiss francs.

All legal entities (legal persons) that exclusively manage private assets in pursuit of their purposes and do not carry on commercial or economic activity may apply for private asset structure (PVS) status, which guarantees favourable tax treatment. A legal entity that has received the status of PVS is subject to a flat tax of 1,800 Swiss francs.

In addition to the requirement of not performing any economic activity, the law requires, in essence, the fulfilment of the following additional prerequisites for classification of a legal entity as a PVS:

• Its stocks or shares are not permitted to be placed publicly and cannot be traded on a stock exchange;
• It is not allowed to advertise for any shareholders or investors, nor receive from shareholders, investors or third parties payments or reimbursements of costs for its non-economic activities; and
• The restrictions for a PVS must be stipulated in its articles of association.

The application is usually made when the legal entity is set up or before the start of a new tax year. If the Liechtenstein tax authorities are confident that all preconditions prescribed by law have been fulfilled, they will grant PVS status.

The transfer of assets to trusts, foundations or other asset-holding vehicles is not subject to tax in Liechtenstein.

How are charities taxed in your jurisdiction?

Charities are tax-exempt. Non-profit institutions, foundations and other non-profit organisations can apply for tax exemption if the main purpose of the organisation is non-profit oriented and for charitable objectives.

What anti-avoidance and anti-abuse tax provisions apply in the context of private client wealth management?

The Liechtenstein Tax Act includes a general anti-abuse provision providing that in cases where the legal structure ‘seems inadequate’ and its sole purpose is exploiting tax advantages, the tax authorities shall levy the tax based on the actual economic reality (article 3 of the Tax Act).

Furthermore, anti-abuse rules are in place with regard to the taxation of capital gains, dividend income and liquidation proceeds, in accordance with EU law. Dividends from holdings in legal entities and capital gains from the sale or liquidation of holdings in legal entities received by a legal entity based in Liechtenstein are principally tax-free. However, dividends are counted as taxable net income if:

• more than 50 per cent of the total earnings of the foreign legal entity providing the dividend is permanently made up of unearned (passive) income, unless this income is achieved in the course of an actual commercial business of the providing legal entity; and
• the net income of the foreign providing legal entity is directly or indirectly subject to a low rate of taxation.

The meaning of 'low rate of taxation' is as follows:

• In the case of holdings of less than 25 per cent of the votes or the capital, it means a deduction of corporate earnings tax at a rate that is less than half the rate of taxation in Liechtenstein, which is currently 6.25 per cent (ie, 50 per cent of 12.5 per cent).
• In the case of holdings of at least 25 per cent of the votes or the capital, 'low rate of taxation' is understood as an effective deduction of corporate earnings tax of less than 50 per cent of the corporate earnings tax charge in an equivalent situation in Liechtenstein in accordance with Liechtenstein tax law.

Furthermore, in the case of holdings of at least 25 per cent of the votes or the capital, dividends are counted as taxable net income if the dividends can be claimed as an expense against tax by the legal entity providing the dividend. This means that if a Liechtenstein legal entity receives dividend income that is classified as a tax-deductible payment in the country where the dividend was declared, Liechtenstein is obliged to tax the dividend if the 25 per cent participation threshold is reached.

'Unearned' (passive) income means, among other things, interest or similar income from financial assets or dividends from holdings in or distributions from foreign legal entities, in which more than 50 per cent of their total income is made up of passive income subject to lower taxation and insofar as this income is not achieved in the course of an actual commercial business.

Trusts and foundations

Does your jurisdiction recognise trusts?

Liechtenstein was the first country in continental Europe to have implemented the common law institution of trusts into its legal system. Thus, lawyers need to be familiar with not only Liechtenstein trust law, but also common law trusts (ie, trusts under US or English law). In this context, Liechtenstein recognises:

• trust companies providing trustee services with a licence for extensive or restricted activities granted by the Liechtenstein Financial Market Authority;
• registered trusts, regardless of whether they are legal entities (although registered trusts are only in rare cases not legal entities); and
• ‘classic’ trusts, which are considered to be legal relationships and, as such, lack legal personality.

Regarding Liechtenstein trust law, there are some significant similarities to common law trust law.

In Liechtenstein, trusts are well established and have a good and solid reputation. One can rely on detailed laws and court decisions. Further, Liechtenstein is a signatory to the Hague Convention on the Law Applicable to Trusts and on their Recognition (the Hague Trust Convention of 1985).

Does your jurisdiction recognise private foundations?

Liechtenstein recognises various forms of foundations and is well known for its sophisticated and highly flexible opportunities for founders. In essence, a distinction is made between private-benefit purpose and common-benefit purpose foundations, although Liechtenstein foundations may also have mixed purposes. Any type of foundation can be set up as either a discretionary foundation or a controlled foundation. The foundation is formed by endowing assets for the benefit of a specific purpose. Upon formation, the foundation receives its own legal personality, becoming a legally independent entity that is not tied to the fate of its founder. In contrast to a company, the foundation does not have any owners or shareholders but only beneficiaries that enjoy its income or assets. As a result of legal independence, the foundation’s assets remain outside the asset sphere of the founder, the beneficiaries and the prospective beneficiaries.

The Liechtenstein Law on Foundations does not contain any restrictions regarding the possibility of the founder being a beneficiary at the same time or maintaining a controlling influence over the foundation (eg, the right to revoke the foundation or to amend the foundation’s documents). Further, there are no restrictions regarding the possibility of the founder being a board member or protector with extensive rights. The founder, as well as the beneficiaries, can be members of the foundation board without any restrictions. However, many founders choose not to maintain influence over the foundation as this may have adverse tax impacts in their home jurisdiction or may be detrimental to the goal of asset protection.

Liechtenstein can rely on the detailed and well-established Law on Foundations, as well as case law and various literature.

What issues typically give rise to disputes relating to trusts and foundations? How are these disputes resolved? (What are the most common causes of action? Which courts are used? Is alternative dispute resolution (ADR) available and commonly used? What remedies are commonly awarded?)

The issues giving rise to disputes relating to trusts and foundations are very broad and diverse. Disputes may arise from internal matters - namely, the relationships between the settlor or founder and the trustee or the board of foundation on the one hand and the trustee or the board of foundation and beneficiaries on the other hand (eg, in relation to the information rights of beneficiaries, the duties of the trustees or members of the board of the foundation, the removal and retirement of trustees or members of the board of the foundation, distributions to beneficiaries and the amendment of trust or foundation documents). In comparably rarer cases, issues giving rise to disputes relating to trusts and foundations may also reflect the uses of trusts and foundations as tax and estate planning instruments and asset protection devices (eg, creditors and heirs attempting to attack such structures).

The court's competence in the context of trusts and foundations goes beyond dispute resolution and also comprises a strong supervisory function that is generally dealt with in non-contentious proceedings (Ausserstreitverfahren, which is regulated in the Non-Contentious Proceedings Act), as opposed to contentious proceedings following the rules of the Civil Procedure Law. For example, the court has the power to order a special audit, to give binding directions, to replace trustees or members of the board of a foundation or to cancel resolutions of executive bodies.

Alternative dispute resolution (ADR) has become increasingly relevant in Liechtenstein. The most popular ADR method is arbitration. In 2010 and 2011, Liechtenstein modernised its arbitration legislation and joined the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards. Liechtenstein law recognises the possibility of both foundation and trust arbitrations. Almost all foundation and trust-related issues are arbitrable under Liechtenstein law.

Same-sex marriages and civil unions

Does your jurisdiction have any form of legally recognised same-sex relationship?

Liechtenstein recognises same-sex marriages (as of 1 January 2025). The Marriage Act has been amended to ensure that the legal institution of civil marriage will be equally open to both same-sex and opposite-sex couples. Although the law on registered partnerships for same-sex couples, introduced in 2011, remains in place, it will lose much of its practical significance. Couples in registered partnerships will have the freedom to choose whether they wish to maintain their existing partnership or convert it into a marriage through a simple procedure. Conversion is possible only if the registered partnership was entered into before 31 December 2024. From 1 January 2025, no new registered partnerships may be entered into in Liechtenstein and, therefore, no further conversions may be carried out.

Does your jurisdiction recognise any form of legal relationship for heterosexual couples other than marriage?

Liechtenstein law does not provide any other form of legal relationship than marriage for heterosexual couples.

Succession

What property constitutes an individual’s estate for succession purposes?

All assets, movable and immovable, regardless of their location, as well as rights and duties, fall into an individual’s estate. Liechtenstein is aware of the concept of co-ownership (or joint ownership). Collective ownership plays a role in the succession procedure. As a result, heirs can inherit only the part of a jointly owned asset that belonged to the deceased.

To what extent do individuals have freedom of disposition over their estate during their lifetime?

Persons of full legal capacity have the right of disposition over their whole estate in accordance with general applicable rules. Therefore, individuals can usually dispose freely of their estate during their lifetime without restrictions. Under certain circumstances, donations or gifts before the testator’s death can be credited as a portion of the inheritance; however, this does not affect the actual disposition. Marriage alone does not constitute joint property between spouses. Therefore, spouses can establish a general community of property; however, this requires a special contract. Further, spouses may enter into an inheritance contract.

To what extent do individuals have freedom of disposition over their estate on death?

In general, individuals have freedom of disposition over their estate upon death. Nonetheless, there are ‘mandatory heirs’. For instance, children and the spouse of the deceased are protected and are entitled to a compulsory portion. Depending on the specific circumstances among these persons, the compulsory portion varies.

Liechtenstein succession law allows mandatory heirs to claw back gifts or legacies that are gifted in breach of their compulsory portion. Mandatory heirs may file a clawback claim to receive the balance of their compulsory portion if they receive less than their compulsory share in the estate.

If an individual dies in your jurisdiction without leaving valid instructions for the disposition of the estate, to whom does the estate pass and in what shares?

Liechtenstein provides a legal order of succession in cases where no valid instruction is left by the deceased individual. The legal heirs are descendants, spouses or registered partners, as well as the closest relatives. By law, there are four parentelae (lines of blood relatives). The first parentela contains the deceased’s descendants. The children inherit in equal shares and predeceased children are represented by their own descendants. Alongside this first parentela, the spouse or registered partner is entitled to one-half of the inheritance. If the deceased leaves no descendants, the second parentela is entitled to receive the estate. These are the deceased’s parents, who inherit equal shares, unless one or both of them are predeceased, in which case they are represented by their descendants. The spouse or registered partner is entitled to two-thirds of the inheritance alongside the second parentela, as well as alongside the third parentela, who are the grandparents and their descendants. The third parentela inherits from the deceased if there is no remaining second parentela relative. If there are no third parentela relatives, inheritance passes to the fourth parentela, the great-grandparents (who if predeceased are not represented by their descendants). However, alongside the fourth parentela, the spouse or registered partner is entitled to the whole inheritance. In other words, the great-grandparents do not inherit any of the estate if the deceased is survived by a spouse or a registered partner. If the deceased leaves no spouse or registered partner and no relative in any of the four parentelae, there are no entitled legal heirs. In this case, the estate falls to the state.

In relation to the disposition of an individual’s estate, are adopted or illegitimate children treated the same as natural legitimate children and, if not, how may they inherit?

Regarding the law of succession, Liechtenstein does not distinguish between legitimate and illegitimate children. Adopted children are treated the same as natural legitimate children in relation to their adoptive parents and siblings, but they are not entitled to inherit from their adoptive parents’ ancestors (ie, parents and grandparents of the adoptive parent and their descendants). A descendant shall be entitled to inherit from their natural ancestors, regardless of their adoption by third persons.

What law governs the distribution of an individual’s estate and does this depend on the type of property within it?

The applicable law of succession is determined by nationality. The laws of Liechtenstein are applicable unless the deceased was either a foreign national or a Liechtenstein national living abroad. Liechtenstein is not subject to the EU Succession Regulation. Nonetheless, the Liechtenstein International Private Law Act may apply.

What formalities are required for an individual to make a valid will in your jurisdiction?

A valid will is required to be either written and signed by an individual’s own hand (handwritten testament) or signed by the testator and testified by three capable witnesses who also need to sign the document if the last will is written by someone other than the testator or is written by the testator but not by hand. Additionally, there is the possibility of making an oral or written will in court. If there is a direct risk of the testator dying or losing their capacity to make a valid will, it is possible to determine an individual’s oral will if attended by members of the court.

Are foreign wills recognised in your jurisdiction and how is this achieved?

Foreign wills are recognised if they meet the formal requirements either of the testator’s country of origin or the testator’s residence. If the inheritance procedure is executed by a Liechtenstein court, the will must comply with the formalities required by Liechtenstein law.

Who has the right to administer an estate?

An heir accepting succession has the right to administer the estate individually. If there is more than one heir, the heirs may administer jointly. If the heirs are at odds with each other or if the titles of inheritance are ambiguous, a curator will be appointed by the court.

How does title to a deceased’s assets pass to the heirs and successors? What are the rules for administration of the estate?

The estate of a deceased person is considered an entity with a legal personality. Depending on their probate, heirs are liable for all their assets or only to the extent of their inheritance. In general, the estate is transferred in accordance with the formal requirements for the transfer of assets under Liechtenstein law. Regarding the administration, after the declaration of acceptance, the heirs have the right to administer the estate together by making consensual decisions. In the case of conflict, the court appoints a trustee of the estate as a representative. Disposal of any part of the estate is not allowed without the approval of court (subject to certain exceptions).

Is there a procedure for disappointed heirs and/or beneficiaries to make a claim against an estate?

Heirs may challenge the validity of a will. After the declaration of acceptance, Liechtenstein law provides a special succession proceeding against persons gaining the estate or a share of it. In this lawsuit, any other person can claim a better or equal right to the estate. Someone who claims a single item of the estate shall only use the regular civil proceeding.

Capacity and power of attorney

What are the rules for holding and managing the property of a minor in your jurisdiction?

The parents, or persons entitled to custody, hold and manage a minor’s property as the minor’s representatives. They are obliged to manage the property prudently. They should preserve and increase the value of the property, if possible. The law also provides that it is the parents’ duty to annually render an account to the court if the property contains real estate or shares of entities, or if the revenues can provide financial support for the child. The court can free parents of this duty if they administer the property prudently. However, contracts of substantial economic impact usually require approval by the family court.

At what age does an individual attain legal capacity for the purposes of holding and managing property in your jurisdiction?

An individual attains full legal capacity for the purposes of holding and managing property at the age of 18. At the age of 14, individuals have limited legal capacity for holding and managing property.

If someone loses capacity to manage their affairs in your jurisdiction, what is the procedure for managing them on their behalf?

If someone loses capacity to manage their affairs, those affairs should be managed by a legal representative or a relative. The law recognises a special power of attorney whereby someone gives directions as to how and by whom their affairs should be managed. If this option is not possible, the court may appoint a guardian to act on behalf of the person without capacity to contract.

Immigration

Do foreign nationals require a visa to visit your jurisdiction?

Whether a foreign national requires a visa to visit Liechtenstein depends on the citizenship of the person. There are no border controls between Switzerland and Liechtenstein, and the same requirements as those in Switzerland apply to travellers to Liechtenstein. Like Switzerland, Liechtenstein is a signatory to the Schengen Agreement; therefore, visas are required only for persons from certain countries. In essence, nationals of a Schengen member state do not need a visa to visit. They may enter Liechtenstein for up to 90 days for tourist or business purposes without a visa. Their passport, however, must be valid for at least three months beyond the period of their stay and anyone may be questioned by border guards about the purpose of their visit. As Liechtenstein and Switzerland share a customs and monetary union, reference should be made to Swiss provisions, as the provisions on persons subject to visa requirements are largely the same (deviating regulations based on bilateral or multilateral agreements remain reserved). Whether there is a visa requirement can be found online or in the Liechtenstein National Law Gazette (LGBl. 2011 No. 572).

Is there a visa programme targeted specifically at high net worth individuals?

There is no visa programme targeted at high net worth individuals in Liechtenstein, but there are different ways to receive a residence permit to stay. A short-term permit allows the holder to stay in Liechtenstein in employment for up to one year. A long-term permit allows the individual to stay for more than one year, either in or out of employment. These permits are generally limited to a period of five years for European Economic Area (EEA) and Swiss nationals and one year for nationals of third countries. The permit can be extended if certain legal prerequisites have been met. The requirements for an employment permit are stricter for third-country nationals (eg, the requirements include an application by the employer and job qualifications). One of the requirements for a third-country national to obtain a non-employment permit is, for instance, that Liechtenstein takes an interest in offering the particular individual residence in the country. Owing to its EEA membership, Liechtenstein issues a limited number of residence permits (direct issue) per year. Further, Liechtenstein offers a biannual lottery for residence permits for EEA nationals only, which is similar to the US Green Card Lottery.

Update & trends

Are there any proposals in your jurisdiction for new legislation or regulation, or to revise existing legislation or regulation, in areas of law relevant to high net worth individuals, particularly those coming to or investing in your jurisdiction? Are there any other current developments or trends relevant to such individuals that should be noted?

On 15 April 2025, the government adopted the report and motion on the proposed amendment to the Law on Trusts. The primary objective of this legislative proposal is to guarantee the effective and continuous monitoring of trustees' administrative activities in the context of trusteeships (trusts), with the aim of eliminating potential deficiencies in the control mechanisms. It is not yet clear how long the legislative process will take. The parliament discussed the planned revision of trust law in its public session on 13 June 2025, in its first reading.

The draft provides for the mandatory appointment of at least one 'information beneficiary' for every private trust, who has comprehensive rights to information and disclosure under the law. In order to continue to give preference to the private autonomy of the settlor, it should be left to the settlor to decide to whom these rights are granted. In addition, the settlor and the person entitled to information, as well as the trustee, will now have the right to file motions and be parties to judicial supervisory proceedings. Furthermore, the report and motion provides for the creation of a trust court at the level of the Princely Court of Justice. The Princely Court of Justice is to act as a three-member panel consisting of a full-time judge of the Princely Court of Justice and two part-time judges.

Additionally, it should be noted that Liechtenstein maintains a zero-tolerance policy toward money laundering and terrorist financing. The legislature has taken several measures in this regard. The Anti-Money Laundering Package, or AML Package, was adopted by the European Parliament and the Council of the European Union in April/May 2024 and published in the Official Journal of the European Union on 19 June 2024. In particular, it provides for harmonised rules to combat money laundering and terrorist financing in the European Union/European Economic Area (EEA). With the exception of the Transfer of Funds Regulation, the Anti-Money Laundering Regulation, Anti-Money Laundering Directive and Anti-Money Laundering Authority Regulation are to apply in the European Union three years after publication in the Official Journal of the European Union - that is, in June 2027 at the earliest. Far-reaching legal adjustments are necessary for applicability in the EEA and thus in Liechtenstein.