A trust is a tool, perfectly legal, to manage assets according to a specific purpose. It may be used to construct a building, to cancel a debt or to meet obligations on securitizations. The person who represent it delivers properties and assets so that the administrator (usually a law firm) use them exclusively for this purpose.
The draft organic law to prevent evasion of income tax on inheritances, legacies and donations tries to cover those policy slits through which taxes used to escape, although the name of the law (unfortunate for analysts) suggests that trusts are a tool used to avoid paying taxes.
“You can fund with a trust as a company or any other legal figure. Whoever wants to avoid, is going to avoid,” says attorney Heinz Moeller Gomez. Ie, it is not the legal figure but the intention.
Source: http://expreso.ec/expreso/ plantillas/nota.aspx?idart= 8668245&idcat=38269&tipo=2