Сообщение об успешной отправке!
This leaves clients with risky structures which will not survive a tax audit, at a time when global governments are increasingly cash hungry. In most countries, the statute of limitation for offshore related tax evasion is 10 years or lifetime.
Many offshore consultants disregard CFC, GAAR and transfer pricing laws and recommend off-the-shelf structures to clients that rely on ‘not being caught' rather than being legal.
Also, it allows these consultants to sell to lower earning clients — rather than turning them away, even when their income is too low for legal tax optimization to work.
Offshore consultants recommend these ‘quick and easy' solutions such as UAE freezone companies, Caribbean IBCs or US LLCs as it requires little thinking and work.
Flag Ventures does things differently:
Your tax plan can be signed off by a licensed tax advisor with professional liability insurance.
Holistic approach to tax planning, taking into consideration your lifestyle, asset protection and investment goals too.
We favor nearshore and legitimate jurisdictions over traditional tax havens.
Legal optimization in compliance with CFC and transfer pricing laws. No shortcuts.
Who we can help
clients whose gross annual income exceeds $500K where personal relocation is not an option now or in the future
clients whose gross annual income exceeds $100K where they are ready to relocate now or in the future
entrepreneurs, location independent contractors and investors (crypto, stocks or otherwise)
3\
2\
1\
the likely option involves setting up a company in a low tax jurisdiction in a way which complies with the client’s home country CFC and transfer pricing rules, which often involves hiring local employees. Thus this only makes sense above a certain income level.
We focus on tax optimization in nearshore jurisdictions especially in the Central & Eastern Europe
Oftentimes, what works well in internationalization is being early to a strategy. Tax optimization in traditional tax havens and via US LLCs is widely used and thus at most risk of scrutiny by authorities.
Advantages of nearshore optimization in the CEE region:
With UAE & GFC moving away from 0% tax, in many cases entrepreneurs and consultants will pay lower taxes in the CEE region, in particular after factoring in recurring fees associated with business licenses, compliance and residency.
1/
The most affordable high skilled talent in the world, allowing you to build genuine business substance through hiring locally across a wide range of positions.
2/
Lower tax audit risks from your home country. E.g. an e-commerce entrepreneur can qualify for 3% corporate tax in Poland without catching unnecessary attention from their home country’s tax office. Whereas owning a UAE company most certainly would.
4/
Access to higher quality banking options.
3/
A wider range of double tax treaties allowing you to legally shift dividends worldwide without withholding tax.
Featured jurisdictions for corporate and personal income tax
Select one of the two options to learn more ↓
Uzbekistan
Malaysia
Hungary
Bulgaria
Jurisdiction
Poland
Lowest WHT rate for dividends
5% (for UAE, Singaporean and Malaysian tax residents)
5% (for UAE and Singaporean tax residents)
9% corporate tax
0% (for UAE and others tax residents)
0% (for UAE and others tax residents)
0%
5%
Corporate tax rate
0% corporate tax on re-invested profits or 9% corporate tax or revenue tax starting at 3%
10% corporate tax
9% corporate tax
3% corporate tax and 0% for holding companies in Lauban
0% corporate tax for qualified IT companies
Poland
Romania
Kazakhstan
Serbia
Jurisdiction
Georgia
Capital gains tax rate
0%
Personal income tax rate
1% for self employed persons
Understanding CFC, GAAR and transfer pricing
- Increasingly scrutinised by tax authorities worldwide
- More stringent rules especially in the case of countries considered ‘non cooperative jurisdiction for tax purposes'
- Typically hard and expensive to build genuine local substance
‘Pass through entity' structure relies on having no US business establishment to qualify for 0% tax on the US side. But this also means it is not possible to build genuine local substance for CFC and…
- Talented and affordable local employees makes it possible to build substance
- Not viewed in suspicion by global tax authorities
- Wide range of double tax treaties useful at dividend withdraw stage
- More banking options for yourself and your company
Contact me to get started
Please note my services are primarily intended for individuals with a liquid net worth in excess of $500K
You'll hear back within 24 hours
