The Structure

Ingvar Kamprad founded IKEA in 1943. Over decades, he built an ownership structure that transferred control from himself to a Dutch foundation:

1. Stichting INGKA Foundation → Netherlands foundation that owns INGKA Holding

2. INGKA Holding → operates most IKEA stores globally

3. Inter IKEA Systems → owns IKEA concept and IP (i.e. the IKEA brand), licenses to INGKA for a large sum

4. Interogo Foundation (Liechtenstein) → reportedly owns Inter IKEA

This layered structure separates:

• Retail operations (INGKA)

• Brand and IP (Inter IKEA / Interogo)

• Family control (foundations that don’t have owners in traditional sense)

The Tax Effects

Reported effects:

• Substantial reduction in effective tax rate compared to conventional ownership

• Deferral of certain tax through IP licensing between the entities

• Netherlands and Liechtenstein foundation tax treatments applied

• Long-term wealth continuity across generations

Various tax authorities have scrutinised the structure over years. Some aspects have been modified.

The Non-Tax Benefits

For the Kamprad family (particularly given Ingvar’s stated philosophy of company continuity):

• Ownership survives Ingvar and descendants

• Family council governance structure

• Prevents disruption from inheritance or family disputes

• Long-term stewardship rather than short-term shareholder pressure

Foundation Structures for HNW Families

The IKEA structure is extraordinary in scale but the underlying framework applies to HNW families more broadly:

Best Foundation Options in 2026:

1. Panama Private Interest Foundation (see Article A2 / Country 1) → most accessible cost-wise, and has some of the best tax and asset protection regulations on this list

2. Liechtenstein Stiftung → European classic, higher cost, intended for multimillionaires and only worth it at scale

3. Netherlands STAK / Stichting → used in IKEA-style arrangements

4. UAE Foundation (RAK ICC, ADGM) → increasingly used, limited long-term legal testing available as it’s only become mainstream in the last decade

5. Cook Islands and Nevis Foundation-equivalent LLCs → asset protection focus against creditors

Common benefits of all five:

• Ownerless structures (no “owner” for tax purposes in classic sense, the foundation owns itself)

• Long-term continuity across generations

• Family governance embedded in structure

• Potential tax planning benefits (subject to CFC rules of beneficial owners’ residence)

• Some (such as Panamanian PIF) explicitly protect against forced inheritance rules (common in European, Latin American, and some Asian countries)

Modern realities:

• CRS reporting of controlling persons applies, so you need to structure it properly and not aim to use it to hide money

• Substance requirements applied to modern foundations

• Beneficial ownership disclosure to authorities standard

• Personal residency of beneficial parties still drives tax

For FTR Family Clients

Panama Foundation is the most cost-accessible modern equivalent in 2026. Combined with proper structural planning, our clients get:

• Access to a stable, USD-denominated territorial taxation framework (i.e. foreign income not taxed)

• Multi-generational family wealth continuity

• Governance separation from family drama

• Reasonable ongoing cost (USD ~$4K/year total post-setup)

• Established framework with 100+ years of jurisprudence (Panama Foundation modelled on Liechtenstein) → Panama is a much more well-established financial jurisdiction than trendy destinations like the UAE, Cook Islands, Malaysia, etc. which have very limited testing of legal concepts to rely upon