Prince Harry and Meghan Markle likely don’t have a prenuptial agreement, but instead have some sort of contract dividing up their substantial assets. That’s just because prenups can’t be legally enforced in the U.K. courts.
Harry W. Drozdowski, attorney with Anglin Flewelling Rasmussen Campbell & Trytten LLP in Pasadena, CA., says while there may not be a prenup, he’d guess there was something drawn up in order to protect both Harry and Meghan.
“I would be surprised if there was nothing,” he tells Personal Space. “Meghan came into the marriage with substantial assets of her own.”
And while those papers will likely never be revealed to the public, what can be leaked is what some royal assets are worth, including homes, property, and annual stipends, all because Meghan kept her American citizenship, says Drozdowski.
“On the tax reporting side, there are U.S. requirements for all U.S. foreign-living citizens, there is an income tax on citizens abroad,” he explains. “Meghan will have to report her royal income, her use of residences, use of assets.”
So, Meghan living on the grounds of Kensington Palace would require that she list the fair value rent of that residency for one year if she’s there for free, Drozdowski says, “because that’s considered income.”
“She is going to be represented by a good tax counsel in both the U.S. and the U.K. who can try come up with ways to frame it differently, like, it’s gift rather than income,” Drozdowski says, adding that her tax filing will be kept private.
Meghan’s annual stipend from the Royal Family would also have to be listed since it’s unlikely she will be taking acting jobs for hire going forward.
“She likely didn’t relinquish or renounce her U.S. citizenship because that’s incredibly permanent, once you do it it’s done,” says Drozdowski. “Things could happen in life, and boy we all hope they don’t for her, but divorce, death, or illness … and her family is here, her mom is here, she’s passionate about a number of charitable causes here so it makes sense that she didn’t. While she’s married and in this role if she needs to return here for a long period of time it would be an issue if she wasn’t a citizen.”
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