Taking Internet business offshore

I am NOT saying this is what I do....


Setting up an offshore base is great for privacy, security, and tax reasons.

There are many havens still available, but are becoming fewer, and fewer as the large G7 countries attempt to minimize their "losses" , and git their money. This is a heated subject for me, and that is all I will say.

Based upon exhaustive studies, and meetings with offshore attorneys, I can give you a basic framework that will serve your online business well. You will obviously have to consult with professionals to go further.

Here is a piece of an article *someone* might have wrote a year ago:

"Ya, I thought I would let the cat out of the bag on this one. This is also part of my business strategy. Here are the bare bones of it. If you want further explanation, message me, and when I have time I will clear things up. I have done my research in international tax law, and I am very sure of myself in this area. I really do not expect you to go full force James Bond air gun whizzy starship like I am going to, but if you even do one of the few things here, you will be that much better off.

Tax evasion is illegal, tax avoidance is totally legal.

Step 1: File an IBC, and register that corporation in a country that has 100% tax exemption (Belize, Nevis/Saint Kitts, Panama, Dominica, Hong Kong)

*For online businesses, Belize, or nevis/st. kitts are preferred, as the infrastructure is built with e-commerce in mind. There are tax implications in regards to where the server you are making money from is located, and frankly most tax havens are not equipped. *

Step 2: Funnel all income, and cash flow through the company, and into an offshore account in a DIFFERENT tax haven. The account is secure, private (owner is the biz, not you) and does not charge tax on on interest accumulated.

There is so much more interesting things to say about these steps, but I am too lazy to flesh it out right now. So, up until now you have a global online company(which you can run from anywhere) and so far earnings are tax free because of the country the company is registered in. The problem now is since you are still a Canadian citizen, you must pay some tax on all worldwide income.

There are not many ways around it. You can minimize taxes greatly through standard corporate tax tips. Here is a black hat, and a white hat strategy to paying zero taxes.

Step 3 (optional and black hat): Setup Prepaid Visa cards for all purchases.

In a tax haven country, the owner of a corporation is not reported, or recorded, so the company's owners are anonymous. As well, financial reporting is not necessary. your offshore bank account is setup under your business name, and the business has no "owner". So the only way the government can track your funds down is by seeing you spend it. So you setup prepaid visa cards that you load up from your account. These cards work like cash, and viola, no paper trail.


Step 4 (white hat): Renounce your Canadian citizenship, and become a citizen of Belize, Dominica, and the like.

This sounds insane, but hey. So, by becoming a citizen of one of these countries that do not charge a cent on personal or business earnings, and setting up your company offshore, and opening offshore accounts, you are now financially "invisible".

Your assets are protected. The world can go to hell in a hand basket, and you can be unaffected. You can live, and work anywhere in the world you please. Most importantly you have your dignity, privacy, and freedom, because sadly, our freedoms are slowly being taken away from us.

You want freedom? This is it. Become a ghost. Instead of the government taking 50% of everything, you now keep it all. Every penny. (Now you have more to give to charity).

HOWEVER, I feel if you are actually living in a country, DO NOT be a blood sucking leech by not paying any taxes. If you do all this, and still live in your country, make sure you are not a parasite. You may minimize your taxes by setting up an IBC, and you may save money, and have better investing options with an offshore account, BUT I believe that it is your DUTY to aid the economy you are living in....not just by buying things.

Be free. JD.

p.s - Even if you do not want to go this extreme as I am (doesn't it sound fun though) you should very much consider opening a simple offshore bank account, and mail drop. The benefits are staggering, and anyone can do it. Look into it, you will thank me.

The book "Tax havens Today" is wonderful, and all the advice you will need to decide if this is right for you. After that, you must seek out the professionals."

JD.

pps - You can always get your citizenship back if you were born here, so it is not that big a deal!"