Setting up an offshore company in a foreign jurisdiction can provide access to many advantages. Perhaps the most significant of these comes in the form of significant tax benefits and savings.
In this article, we will look at the various tax benefits which are often available to offshore companies along with other additional advantages. We will also discuss how to actually qualify for and best make use of the benefits which may be available.
Every business needs a correspondence address, which is the address from which they send/receive physical mail. It is acceptable for a business to use their physical office address as their correspondence too; however, many choose to use a distinct address specifically for this purpose.
Tax havens provide an ideal corporate landscape for business owners wishing to set up a company offshore and take advantage of reduced taxes, better privacy measures, and asset protection.
Setting up an offshore company in a tax haven is usually a straightforward process. However, it is important to first understand all the various factors involved and whether or not embarking on such a process is right for your specific objectives and circumstances.
In this article, we outline what is meant by the term “tax haven”, the reasons why (or why not) one might want to set up an offshore company in a tax haven, and how to practically go about it.
The recent boom in digital asset markets, along with the increased pressure from the IRS to tax cryptocurrency gains, has led many new crypto elites from the US to search for viable ways to ease their crypto tax burdens.
Puerto Rico has been an attractive offshore tax haven for US residents due to its proximity, ease of access, and generous tax savings. Puerto Rico is the only ‘offshore’ tax haven that is officially a territory of the United States, which makes it the most accessible way for US citizens to avoid domestic taxation on worldwide income, simply by relocating and becoming tax residents of Puerto Rico.
The cryptocurrency and blockchain industry has grown exponentially over the last decade, and is now soaring into mainstream popularity. Recent years have seen a rapid increase in the number of crypto businesses looking to innovate and profit in this exciting new space.
Unfortunately, the open adoption of cryptocurrency by many governments around the world has lagged somewhat. Some governments remain firmly anti-crypto, while others simply haven’t adapted fast enough to know how to supervise and regulate this constantly evolving space.
The global cryptocurrency market has experienced a massive boom in recent years. This is not only reflected in the astronomical price increases of many cryptocurrencies and digital assets, but also in the exponential growth in popularity and users of cryptocurrency and decentralised finance.
Whether you are a seasoned crypto veteran who has been trading for years, or you are just now considering getting involved in this exciting industry, it is worth exploring the potential benefits of setting up an LLC for your crypto activities.
No one likes the feeling of making incredible gains on an investment, only to see 30-40% (or even more!) of the profits getting eaten up by exorbitant capital gains taxes. Unfortunately, that is the reality in many developed nations, where capital gains taxes accounts for a large portion of total government tax revenue.
Luckily, there are a large number of countries which have prioritised respecting capital gains of investors as they understand that it can help encourage investment and capital efficiency, and lead to an overall healthier and stronger asset market and wider economy.
As such, many of these nations levy negligible or absolutely no capital gains taxes on investment profits.
Initial Coin Offerings (ICOs) have gained massive popularity and adoption over the last decade due to their practical uses and advantages over other traditional ways of raising capital.
That being said, they are still a relatively new concept in the world of investing and venture capital. This has resulted in major differences in how they are viewed and regulated across different countries, with some taking a significantly more or less friendly approach than others.
As a result, crypto startups looking to raise capital through an ICO have tended to prefer doing so in a more favourable offshore environment.
In this article, we take you through the basics of what an ICO is before discussing why it makes sense to specifically launch an ICO in an offshore jurisdiction. We also guide you through the practical steps of how to launch an ICO offshore, and briefly mention some of the best countries in which to do so.
An Initial Coin Offering provides a way for cryptocurrency startups to gain direct funds from investors and venture capitalists for the launch of a new cryptocurrency. ICOs are a process by which the investor obtains tokens or virtual coins associated with a project or startup in exchange for an initial investment.
Although ICOs are a fairly new concept, it has been found that the traditional structure of a private foundation is an optimal vehicle through which to launch an ICO. This is due to various features which are specific to foundations, and which suit the ICO model well.
Panama is one such jurisdiction that lends itself perfectly for the formation of a foundation for the purposes of launching an ICO. In this article we explore why foundations are useful entities to launch an ICO, what to look for in a foreign jurisdiction for forming an ICO foundation, and why Panama is one of the best choices around.
Offshore outsourcing refers to hiring an outside company in a foreign country as a third party to help in business activities. Seeking outside helps not only helps to reduce costs and expand operations but also to get a greater return on investment.
Offshoring occurs across a wide range of industries, sectors and job descriptions from both single-member companies and large multinationals.
Since as early as 1965, the US State of Delaware has been able to develop beneficial offshore structures for company formation and has become an attractive offshore jurisdiction due to its friendly corporate legislation and other key advantages.
The preferred type of corporate vehicle in Delaware is a Limited Liability Company (LLC). A Delaware offshore LLC offers numerous advantages and uses, such as zero corporate taxation, high levels of financial privacy, fast and affordable incorporation processes, and few reporting requirements.
Partnerships are a common type of business entity which allows for multiple owners. Ordinary partnerships operate in a similar way to sole proprietorship, except with more than one owner. There is, however, the option to form a limited partnership. This is a special type of partnership with features that are akin to a limited liability company.
In this article we will explain what exactly a limited partnership is and how it differs from a general partnership. We will also discuss some of its advantages and uses.
Intellectual property (IP) assets include patents, copyrights, trademarks, and private data and methods. Depending on the nature of the business, these assets can often be some of the most valuable that a business holds. This is especially the case for various software, specialised product, and other innovative companies. Their IP is what sets them apart from their competitors and gives them that edge to be better than the rest.
IP is a very real asset type that can even be used as collateral when applying for loans, can be added to the balance sheet of the company as equity, and can help secure merger and acquisition deals. It therefore makes sense to protect these valuable assets in the best way possible.
Owning a business can be a highly rewarding and profitable venture if handled correctly, but it also comes with risks. In the increasingly litigious society that we live in, businesses are faced with more claims and lawsuits than ever before. As a business owner, it is your responsibility to understand the many risks which face your business and personal assets, and take the necessary steps to protect them.
In this article we will outline the importance of asset protection and some of the best asset protection strategies that can be used.
The Central American nation of Panama has become a popular location for foreigners looking to start an offshore business. Its favourable regulations and tax regime, along with its diverse entrepreneurial opportunities and bustling economy make it an ideal place to set up shop outside one’s home country.
In fact, the Panamanian government has actively promoted and incentivised foreign investment with great success through their ‘Visión 2030 Panama’ scheme.
There are many benefits to starting an LLC in a foreign jurisdiction. It can provide you with enhanced privacy, asset protection, diversification and help you avoid the hassles of international regulation.
If you are looking to create an LLC overseas, there are a few steps and questions to think about before you get started.
There is a lot of misunderstanding that surrounds offshore banking. Despite what the media says, an offshore bank account is a legitimate financial tool businesses and individuals use for protection and security.
Offshore bank accounts are not illegal and can be used just like a domestic account, such as holding company profits or managing investments. Opening an offshore bank account provides you with many benefits, including asset protection, security, privacy, higher interest rates, as well as a secure plan B for tomorrow's uncertainties. Pretty much anyone can benefit from having an offshore account, regardless of background, income, or credit score.
Malta is an attractive European nation situated in the middle of the Mediterranean Sea. Many are drawn to its shores thanks to its excellent climate, high quality of life, and welcoming people. It has also become one of the most popular nations in Europe and the world to obtain residency and/or citizenship by investment.
In exchange for mixed investment in property and a government fee/contribution, it is possible to acquire Maltese permanent residency within 4 – 6 months, with a total minimum cost of approximately EUR 150,000.
Offshore companies are simply companies which are incorporated outside of the country in which the owner resides. Offshore companies have become popular financial vehicles, as they provide access to different financial and economic landscapes in potentially favourable offshore jurisdictions.
In an attempt to attract wealthy foreign investors, some countries have created friendly offshore financial environments which offer company owners greater levels of privacy, asset protection, and tax optimisation than can typically be enjoyed in their home countries.
In this article we will explore the use of offshore LLCs for anonymity and asset protection, discuss some of their other benefits, as well as the best jurisdictions in which to incorporate an offshore LLC.
If you’re familiar with cryptocurrency, you’ve probably heard the term “altcoin” thrown around before. It’s generally used to describe any cryptocurrency that isn’t Bitcoin, given the massive market share Bitcoin enjoys in the crypto space.
But altcoins represent an evolution of the cryptocurrency industry, bringing improved speed, lower transaction fees and programmability in the form of smart contracts.
With all of these upgrades comes some innovative and bleeding-edge mechanisms to earn passive income on your crypto holdings. Robust and risk-free schemes are already set up to maximize your investment and the opportunities are only increasing.
Cryptocurrency. It’s the notoriously volatile “investment” that dominates the financial headlines for both good and bad reasons.
But despite the fear, uncertainty and doubt about this emerging technology, the truth is that “internet money” has evolved into an almost $3 trillion dollar industry and made a lot of people very rich.
There are pitfalls, however, and if you’re not savvy, you can stand to lose a good chunk of your investment. But with a little knowledge and the right guidance, you could be holding with the best of them.
Starting a business can be a bit complicated especially if you are not familiar with the process. One of the difficulties during this first step is understanding how to operate through all the red tape that needs to be cut in order to get set up as a business.
If you have decided on incorporating your start-up business, one of the first things you should do once you create a business name and legal structure (sole proprietorship, Limited Company, or LLC) is to apply for a business registration number. This article will discuss what it is and why you need to get one for your business.
When you think of the richest countries in the world, the first ones which probably come to mind are economic powerhouses such as the United States, China, and Japan. While these are indeed among the wealthiest nations on earth with the largest economies, merely taking the gross size of the economy as a measure of wealth is not sufficient.
In fact, some of the smallest nations on earth are really also some of the wealthiest when we adjust for population size and quality of life.
With its highly liquid market and wild price actions, it should be no surprise as to why cryptocurrencies have become popular with investors. However, as with any other form of income, any income derived from or transacted using cryptocurrencies and other digital assets are taxable by the IRS - even if you’re an American ex-pat living overseas.
Since cryptocurrencies are a relatively new-fangled concept, settling taxes can get complicated especially if you’re not privy to the nuances of American tax law. Compound that with living overseas, then you get a situation where Americans working abroad are opting to skip filing taxes for expats rather than going through the quagmire of tax compliance. However, this is ill-advised as the IRS has aggressive measures in place to track these types of financial activities and can land you in legal hot water when caught.
With the incredible rise in crypto trading, many people have gone on to the market to avoid paying taxes. Since cryptocurrencies were a new financial market, it took the IRS some time to reach them. The confusion surrounding the market, how it works, and if cryptocurrencies counted as an actual currency still persisted.
Therefore, they were not able to bring about any concrete changes to the tax laws. But times have changed, and the rising popularity of the market has led to concern by the IRS as well as the President. In other words, it is safe to say that the IRS will soon be cracking down on cryptocurrencies as a whole.
When it comes to asset protection, few financial tools can rival a Cook Islands Asset Protection Trust. These trusts provide unparalleled asset protection, privacy, and a range of other benefits. However, a Cook Islands Trust on its own still may not be sufficient. The best way to secure your assets and protect your financial wellbeing is to have a comprehensive strategy with multiple vehicles complementing each other.
This is where you can greatly enhance your asset protection plan by using a Nevis LLC in conjunction with a Cook Islands Trust. Finally, a Swiss Bank Account completes the trio.
In this article, we will explore some of the key features of all three of these powerful offshore financial tools, and how they can work perfectly together to bring you greater financial security, control, and privacy.
Traditional banks are rooted in a system that is slow to change and resistant to anything new. This conservatism has rendered the banking system slow to respond and integrate new forms of transaction. Banks have dragged their feet when it comes to updating their corporate and retail banking products with products that appeal to today's immediacy-obsessed consumers.
Many traditional banks insist on sticking to a traditional banking model approach and as a result, may be left behind as much of the world embraces a new way of transacting and investing.
Two of the most powerful financial vehicles available for asset protection and estate planning are Trusts and Foundations. Both of these vehicles provide a means to protect your assets while you are alive, and to secure them for easy transfer to your heirs upon death.
While these two instruments have many similarities and common uses, there are also important distinguishing characteristics that set them apart. Deciding which is the ideal choice for you depends on various factors related to your personal circumstances and needs.
Europe has become the leading center for crypto adoption as the rest of the world is left trailing in its wake. Minimal regulation, lower taxes, and booming startup scenes have created several crypto hotspots across the continent.
If you are looking to find a country to nurture your crypto assets, there are five countries in Europe that may very well be the best places in the world to live as a crypto investor.
Who needs an estate plan? If you own a car, a house, or an entire room full of comic books, then the answer to that question would be you.
You don’t even have to be married or a parent, although being either or both justifies the need for estate planning even more.
Unfortunately, many Americans don’t seem to be too keen on estate planning. According to a 2017 survey by Caring.com, only 42% of U.S. adults currently have a will, living trust, or any estate planning document.