Would you renounce your citizenship to pay less tax? | Forex Factory

Options

Go to
Permalinks
Print Thread

Similar Threads

Dual Citizenship to access bigger pool of brokers 10 replies

Opening non-US acc as US resident and having dual citizenship? 17 replies

Is it possible to trade CFDs with dual citizenship? 3 replies

Do you pay TAX after trading if you live in Nevada USA? 9 replies

Attachments: Would you renounce your citizenship to pay less tax?
Exit Attachments

Would you renounce your citizenship to pay less tax?

  • #1
  • First Post: Sep 2, 2018 5:21am Sep 2, 2018 5:21am
Im sure this idea is considered tax evasion by western nations.

The fact remains there is an endless list of countries that are much less greedy for the money high net worth individuals make.

Would you renounce your citizenship and turn in your passport to live in a country that asks for much less tax?

Wikipedia provides a list you can sort by percentage (scroll down to the list)
https://en.wikipedia.org/wiki/List_of_countries_by_tax_rates

I trade as a sole trader, I dont believe in incorporating with a business like trading as their is no real tax writes you can make. And even if you do, its your company tax, you still cant put it into your own pocket and buy a house without paying the full tax rate. In australia Mr Prime Minister wants 50%

I could go to new zealand with minimal paperwork and still an english speaking nation and save 20% on my homelands high charges.

I could go live in Monaco on the french riviera and pay 0% income tax.

If you were taking in 6 million per year and every year you had to hand over 3 million on tax...would you take a new citizenship somewhere else?
  • #2
  • Sep 2, 2018 6:08am Sep 2, 2018 6:08am
Would you renounce your citizenship to pay less tax?

No! This is stupid idea. There are much better solutions.

For example, you can register a business (LTD) in offshore location. There are many islands with zero tax on capital gains.

Or you can do some other magic tricks.....but don't ask me what they are.

All I can tell you is that there are loopholes in the system everywhere! And these loopholes are not random. There are created for the rich to hide their real money.
  • #3
  • Sep 2, 2018 6:25am Sep 2, 2018 6:25am
Quoting alphaomega
No! This is stupid idea. There are much better solutions. For example, you can register a business (LTD) in offshore location. There are many islands with zero tax on capital gains.
It seems to me changing ones citizenship to a much more favourable countries tax rate is the most frank, honest and forthright way to minimise ones tax. I can always still come back to australia 6 months per year, not that I would. I will be living in a Thailand villa overlooking phucket bay with an infinity pool for 1200, per night USD

And I dont want to incorporate, I want full access to the money I make with no slippery games to play, (if you know what I mean, I hate accountants or any other snivelling professionals getting between me and whats mine)

For me, no company, no accountant, pay the transparent tax required and thats that. I could complicate things beyond reason. Fortunes slip through fingers like like strands of cooked spaghetti.
  • #4
  • Edited 7:08am Sep 2, 2018 6:29am | Edited 7:08am
And you do realize when you incorporate, your money is now your companies, locked up in the cayman islands. To get any of it, you have to pay yourself as an individual and guess what tax rate that is paid at. Frabkly, I dont even understand why anyone would do that, you have your gold locked in a box and only way to spend it is pay tax

You pay company tax each year, then on top you pay income tax on the money your company pays you. Cayman islands or your home country, you are still paying 50% tax to spend the money.

Thats why I dont incorporate, theres nothing much to write off with Forex and you still pay tax on top of company tax. You could get away with buying a few toys under your company name, but at that level sooner or later, your $12 million dollar yacht will be audited. not worth the games.
  • #5
  • Sep 2, 2018 7:00am Sep 2, 2018 7:00am
Quoting richyRich27
And you do realize when you incorporate, your money is now your companies, locked up in the cayman islands. To get any of it, you have to pay yourself as an individual and guess what tax rate that is paid at. Frabkly, I dont even understand why anyone would do that, you have your gold locked in a box and only way to spend it is pay tax
Expand your thinking!
The government cannot take your money if your are smart.
It's just like trading the market! If you think like everyone else - you will pay for it!
  • #6
  • Sep 2, 2018 7:23am Sep 2, 2018 7:23am
Nice, but you can't convince me on this. Not interested in fucking with the government in any way shape or form.
  • #7
  • Sep 2, 2018 7:48am Sep 2, 2018 7:48am
Quoting richyRich27
Im sure this idea is considered tax evasion by western nations. The fact remains there is an endless list of countries that are much less greedy for the money high net worth individuals make. Would you renounce your citizenship and turn in your passport to live in a country that asks for much less tax? Wikipedia provides a list you can sort by percentage (scroll down to the list) https://en.wikipedia.org/wiki/List_of_countries_by_tax_rates I trade as a sole trader, I dont believe in incorporating with a business like trading as their...
I would. Australia is not the Australia I lived in 10, even 20 years ago. It is a 3rd world morass. Your taxes, correction, extortion money goes to the communists running that country. There are plenty of countries who welcome high worth individuals without onerous extortion.
  • #8
  • Sep 2, 2018 7:52am Sep 2, 2018 7:52am
Quoting Macdon
{quote}I would. Australia is not the Australia I lived in 10, even 20 years ago. It is a 3rd world morass. Your taxes, correction, extortion money goes to the communists running that country. There are plenty of countries who welcome high worth individuals without onerous extortion.
Its the feminists, those bat shit crazy bishes should be trailed for treason...but anyway, we're not helpless and we can make choices that suit us best.
  • #9
  • Sep 2, 2018 8:05am Sep 2, 2018 8:05am
Quoting alphaomega
Would you renounce your citizenship to pay less tax? No! This is stupid idea. There are much better solutions. For example, you can register a business (LTD) in offshore location. There are many islands with zero tax on capital gains. Or you can do some other magic tricks.....but don't ask me what they are. All I can tell you is that there are loopholes in the system everywhere! And these loopholes area not random. There are created for the rich to hide their real money.
worse case scenario is just go live in monaco or Dubai. you dont have to give up your citizenship.

actually if it is possible to sell your citizenship there are many out there who will pay millions for it.
  • #10
  • Sep 2, 2018 8:16am Sep 2, 2018 8:16am
Quoting alphadude
{quote} worse case scenario is just go live in monaco or Dubai. you dont have to give up your citizenship. actually if it is possible to sell your citizenship there are many out there who will pay millions for it.
I think your countrys foreign minister would give you a few problems if you tried to sell your citizenship lol

Are you saying I could just catch a plane, go live in Monaco or Dubai and my country where I have my bank account wont care about any income I make and wont want to tax me?
  • #11
  • Sep 2, 2018 8:53am Sep 2, 2018 8:53am
For mine, Switzerland looks the best on that wikipedia list at 13.2% income tax

Bosnia and Macedonia at 10% but those passports are probably dogshit for world movement

and the lower ones, I couldnt live in a banana republic, but Switzerland is affected by the new ESCA rulings, but I cant see why I still cant use my australian broker....gotta learn french tho.
  • #12
  • Sep 2, 2018 9:35am Sep 2, 2018 9:35am
Switzerland looks something considering the life there.
  • #13
  • Sep 2, 2018 9:48am Sep 2, 2018 9:48am
You can also re-register your company in other country with lower tax..
  • #14
  • Sep 2, 2018 9:57am Sep 2, 2018 9:57am
I dont think you guys understand taxes. If you have a company, wherever it is located, to actually "spend" your money, you have to pay personal income tax.
  • #15
  • Sep 2, 2018 10:09am Sep 2, 2018 10:09am
Quoting richyRich27
For mine, Switzerland looks the best on that wikipedia list at 13.2% income tax Bosnia and Macedonia at 10% but those passports are probably dogshit for world movement and the lower ones, I couldnt live in a banana republic, but Switzerland is affected by the new ESCA rulings, but I cant see why I still cant use my australian broker....gotta learn french tho.
Presumably you mean ESMA.

Switzerland is not part of the EU by the way.
  • #16
  • Sep 2, 2018 10:17am Sep 2, 2018 10:17am
Quoting claudia1
{quote} Presumably you mean ESMA. Switzerland is not part of the EU by the way.
Yes ESMA. And I suspected this, but too lazy to google it. Switzerland has a great income tax rate, but there are challenges and obstacles to getting citizenship. I am also considering Macau at 12% Nothing like waking up in China every day. Or Hong Kong.
  • #17
  • Sep 2, 2018 10:20am Sep 2, 2018 10:20am
Quoting richyRich27
{quote} Yes ESMA. And I suspected this, but too lazy to google it. Switzerland has a great income tax rate, but there are challenges and obstacles to getting citizenship. I am also considering Macau at 12% Nothing like waking up in China every day. Or Hong Kong.
Gains in UK on spread betting are tax free. Not the best of places to live but does have advantages.
  • #18
  • Sep 2, 2018 10:55am Sep 2, 2018 10:55am
What is the tax treatment for Forex in the UK?

(not into any business with the word "betting" in it though. sorry)
  • #19
  • Edited 12:08pm Sep 2, 2018 11:50am | Edited 12:08pm
Have you ever heard of a "western-world" country where the total taxation is going down? Do you honestly think that the taxes you pay will ever be reduced? If you are in your 40's today, how much pension do you think will the government will pay you, when the time comes? And at what age will you be able, financially, to retire? This discussion is really not about getting rich and avoiding taxes, it's about taking a real responsibility for your own financial future, and that of your family. The only honest and real solution is to quit your country, move somewhere you will be able to keep more of your earnings and where you can actually be allowed to do that. Luckily, there are still several options available. These options are actually the only reason why the taxes in your native country (if you live in western Europe) hasn't already gone to 100%, and as long as they exist, they will be the only guarantee a relative "fair" distribution. Why do you think the EU are looking to "stop the leakage"? If they succeed to eradicate the "tax evasion options", what do you think will happen to the tax % you pay in the EU...?

So, yes, to answer you question, I would be ready to renounce my citizenship any day of the week. It's time to look out for number one before it's too late. And as a trader, I encourage you to see Michael Covel's documentary "Broke". That should get you going... :-)
  • #20
  • Sep 2, 2018 12:10pm Sep 2, 2018 12:10pm
You're right. I definitely believe NOBODY will be there to take care of me in my old age...it will be a case of, when you run out of money you die.

I dont plan on running out of money. My main trading goal is a couple of million + bank interest

anything I make more than that is for hookers and vodka.
0 traders viewing now