As someone who is appalled by how the government has pillaged and robbed some of our family friends to the verge of bankruptcy and inability to upkeep their homes through multiple generations of inheritance tax on their family seats, I think the biggest attraction to me, especially as I think about my children's futures, is the prospect of no inheritance tax. Sure, not many people pay it, but as a principle, it is the most disgraceful tax in society today.
Can you do a video on the best structure where the offshore company is the parent company, please? The UK citizen lives abroad. They have a UK Ltd company with UK revenue. The aim being to transfer the revenue to a parent company in a low tax jurisdiction
Most complicated explanation possible. Can you deliver with more simplicity and not jump before setting the context first. It will help. Thank you for posting
from 1 April 2023, the Corporation Tax main rate for non-ring fenced profits will be increased to 25% applying to profits over £250,000. A small profits rate (SPR) will also be introduced for companies with profits of £50,000 or less so that they will continue to pay Corporation Tax at 19%. Companies with profits between £50,000 and £250,000 will pay tax at the main rate reduced by a marginal relief providing a gradual increase in the effective Corporation Tax rate.
Always happy to be of service! You can help spread the word by subscribing and sharing the video 😀 Have you seen this one ruclips.net/video/ieL6EKms07M/видео.html ?
@@gitgudgaming5061 is they only tax profits, so you can role the profits up for a few years and then buy something to enhance your business. They also give you up to a 1 million tax rebate on buying equipment for your business.
@@leonhenry4861 Yeah bro I've looked into it there's alot of ways to reduce taxable income like investing into pension, venture capital funds, and thing like loaning to one of your other companies. You can also set up a SIPP and buy commercial property which is untaxed when you sell and you get to benefit from the capital growth when you sell. Obviously an accountant would know more about this.
@Anonymoose66G don't be so stupid. The uk can not get you to 0% taxes. Whoever told you that is a damn fool. Even if you lived in the Channel islands or the Isle of man, you would still have taxes to pay. I really hope you're not a financial advisor or accountant ha ha ha ha good grief 😀
@@OGCrypto33 I don't understand why people don't actually just live in Jersey. It's got pretty good amenities and is only an hour flight to the City. The total time you spend travelling, including airport times, is less than going from London to Bristol.
So, how does the UK government prove or disprove where you're managing your foreign company from? Could I not argue at the moment that the pandemic has prevented me from travelling to the country where my company is based? Also, does the OECD have anything to do with this? If my company is based in a country that isn't in the OECD, then how is the information shared with the UK? Cheers
If they investigate it they can prove it with things like emails, your physical location, phone calls, etc The OECD doesn't have anything to do with it, there's a variety of reasons a country might look at your or your assets usually banking is the first critical area but there are others as well.
What about if you are at British citizen who owns a UK company that earns money in the UK however, that person lives abroad (Let’s use Brazil such as my own example). that’s also say that the company is completely digital and doesn’t have any physical offices or premises in the UK?
Thanks for that. Much clearer than other videos I have watched. We have a small uk company but am looking to start an off shore company. Hungary sounds good but what is the process for having the management run it from Malta? I got very confused at this.! (I'm new to the whole subject)
It can work but there's no one size fits all, really depends on your individual circumstances. The best option to get into specifics is to book a call so we can discuss the nuances as they apply to you and go over the best solution for your situation.
@@User-sl4kg Gevora has absolute crap WiFi and when you're up really high data doesn't seem great either. Definitely not recommended in that regard. Nice view but not a great hotel. By contrast the Waldorf, which isn't far is like 380 Mbps download speeds, awesome!
@@MichaelRosmer thanks! I stayed at the Gevora for pleasure and I was expecting more indeed, I couldn't remember the WiFi but didn't use it much. First, they could clean the windows ;)
Cool with the right planning it might be possible to greatly maybe completely reduce the corporate tax. You can send us a message through www.offshorecitizen.net to go over your situation
That’s a complex question. Proprietary trading companies are quite complicated and you might face some problems banking in Gibraltar. Best would be to book a call and we'll discuss the best solution calendly.com/michael-rosmer
I'm sorry but I don't understand why that solves the problem. You didn't address the CFC and management residency points. You only mentioned where the company can be, but then CFC rules still apply and management is in the UK, so what's even the point? I feel like you missed the main point of the question.
You need to establish foreign management and control. As for CFC rules these depend a great deal on the type of income, much more complex topic so people are best to reach out to us to get into those nuances. The objective of these videos is to give broad general informative not to provide specific tax planning
Hi Michael thanks for your work, what do you recommend for traders? In my case I live in the UK with a Slovakian passport and an paid by an American prop firm directly into my Revolut account, I also have the option to start an llc and employ myself and get paid that way what would be the best way without spending more than 10k again thankyou
Hi Michael. thanks for this very informative video. just to clarify. Managment and control (outside of the UK) means you dont have to do pay taxes? I have a UAE company I want it to own my UK company and send dividends there to be tax free. If both me and the UAE company are in the UAE could It own controlling interest in the UK company?
@michael_rosmer I’m from Canada and live in Toronto. I have a UK passport too. My best friend from university is a Cayman Islands citizen and he is my Caymanian partner for our Cayman Islands ordinary resident corporation. We are heavily into crypto and when the bull run is over I will likely be well over 7 figures. I have another good friend who is a Portuguese citizen who offered to hire me on a work permit. I know I have to leave Canada, any of these countries are an option for me, what do you suggest I do?
Hi Michael, informative video as always but i have a question. I’m an oil and gas worker/contractor and live in UK, can i open a consultancy company in Dubai and still work offshore UK without having to pay UK tax? I know it’s quite complicated, but would appreciate the help 😊
Yeah also looking into this. It depends on where the main source of “management and control is”. I’m not sure how it is possible to control from Dubai if in the UK. Would be great if you could confirm please Michael! Thanks!
@@OffshoreCitizen The initial idea would be to open one company in London and another in Gibraltar to control this company. The company in London will own the property and pass 95% of the profit to Gibraltar, so it would avoid paying taxes on rent and sale
@@MichaelRosmer even with that structure of an English company being controlled by a company in Gibraltar? So the company would only make the profit in Gibraltar, the English company would not profit to pay taxes. And since Gibraltar only rates the territorial income, it would be 0% tax
@@Jorgeiorio007 no doesn't work that way. UK company would pay tax on UK income, transactions between them other than dividends would be transfer pricing
Hi Michael. Amazing content! What would you recommend for one that live in Denmark, that currently have danish company like LLC, that want to reduce the cooperate tax and as well personal tax. Will it be possible to move to Georgia, rent a place, and then set up a new company there, which will then own the danish company? And will a resident need it? Warmly, Simon
@@MichaelRosmer Good question :-) So basically, sell the danish company/assets to the new co. in Georgia, which is then own by your Georgia Holdning Co.?
@@simondethlefsen4340 but you have to pay local tax in Denmark on income , then can repatriate profits to Georgia company. of course there are ways to reduce your income too, that needs to be explored
UAE is the worst place to put your money in the total amount of fees they charge upfront is equal to 35% tax added to that the high temperature and unstable laws that can change overnight ..
@@MichaelRosmer when u make 2 million you don't need to waste your time in Dubai I spent enough years in that region to know very well they are full of s**t pure lip service .. they rely mostly on regional instability saudis with cah coming over weekends and cash flow from iran .. supposedly under sanctions.. personally I would waste a penny there. Careful they will start charging you income as an influencer.
@@MichaelRosmer Mate .. do they pay you for advertising them? Cuz if they do then that means they tax you on influencing or this for that. Because if I go by what you say then the costs and the tricks they play are all irrelevant to you which makes your income high enough to dismiss their figures according to your own conclusion earlier .. on the otherhand I have my personal experience years working with those clowns opening three companies and my income was definatly more than 100K at the time.. and still think they are full of it .. please keep in mind that most people watching are small money people trying to save something from greedy governments .. so your advice either way on UAE would be useless to them.
If you have an internet marketing company that does lead generation for a client base globally. And all activity is done online and with freelancers from Phillipenes and India Where is better to setup ? Gibraltar or Dubai ? Profits anticipated of 300k in year one, happy to emigrate to Dubai
@@OffshoreCitizen sure I appreciate there are many options and it would be best to call. I’m thinking freelancer working nomad visa may be the cheapest and more simplistic approach if living there 9 months + a year in uae
@@patrick1992 Capped losses and didn't recognize option Spreads as one trade anymore. Let's say you sell one leg and buy the other 100-110 credit spread for 100usd and hope the market goes down. It does and the spread becomes cheaper on both legs. You will gain say 100usd on the sold leg and lose 50 USD on the 110long leg making you an overall gain of 50 for the trade. In Germany the losing leg (110) is seen as a sole trade and the losses are capped acc. After 10k it's all profit from the 100leg and the losses for the 110 can only be taken forward into the next fiscal year. It basically killed retail option investing as well as protecting Portfolios with puts thus exposing retail investors
I didnt understand this video at all. Please list the different elements first and break the down. You are rambling in and out of different topics and therefore seriously confusing my brain.
As someone who is appalled by how the government has pillaged and robbed some of our family friends to the verge of bankruptcy and inability to upkeep their homes through multiple generations of inheritance tax on their family seats, I think the biggest attraction to me, especially as I think about my children's futures, is the prospect of no inheritance tax. Sure, not many people pay it, but as a principle, it is the most disgraceful tax in society today.
I'm generally not a big fan of large inheritance but it does seem ridiculous to tax after tax dollars
JC you sound like the world's biggest idiot. I would love to meet you in person. I really would.
Inheritance Tax is criminal in my opinion.
Agreed. I'm 40 and i'm already planning on how my family can keep any wealth generated between now and when I die.
Can you do a video on the best structure where the offshore company is the parent company, please? The UK citizen lives abroad. They have a UK Ltd company with UK revenue. The aim being to transfer the revenue to a parent company in a low tax jurisdiction
Most complicated explanation possible. Can you deliver with more simplicity and not jump before setting the context first. It will help. Thank you for posting
It doesn't help that there's no clear one size fits all but we'll work on improving thanks for the feedback
@@OffshoreCitizen such a british response, to an idiot's comment lol
from 1 April 2023, the Corporation Tax main rate for non-ring fenced profits will be increased to 25% applying to profits over £250,000. A small profits rate (SPR) will also be introduced for companies with profits of £50,000 or less so that they will continue to pay Corporation Tax at 19%. Companies with profits between £50,000 and £250,000 will pay tax at the main rate reduced by a marginal relief providing a gradual increase in the effective Corporation Tax rate.
Thank you for this ☺️
how has video got only got 4k views??? Respect from the UK someone should have thought me this shit by now!!
Always happy to be of service! You can help spread the word by subscribing and sharing the video 😀
Have you seen this one ruclips.net/video/ieL6EKms07M/видео.html ?
The British actually have some of the most legal convoluted structures to mitigate tax
How so?
Please elaborate
@@gitgudgaming5061 is they only tax profits, so you can role the profits up for a few years and then buy something to enhance your business. They also give you up to a 1 million tax rebate on buying equipment for your business.
@@leonhenry4861 Yeah bro I've looked into it there's alot of ways to reduce taxable income like investing into pension, venture capital funds, and thing like loaning to one of your other companies. You can also set up a SIPP and buy commercial property which is untaxed when you sell and you get to benefit from the capital growth when you sell. Obviously an accountant would know more about this.
@Anonymoose66G don't be so stupid. The uk can not get you to 0% taxes. Whoever told you that is a damn fool. Even if you lived in the Channel islands or the Isle of man, you would still have taxes to pay. I really hope you're not a financial advisor or accountant ha ha ha ha good grief 😀
Isle of Man seems a great option with 0% tax
Jersey aswell
Yes but Gibraltar is easier to setup and only costs £3k so cheaper as well
@@OGCrypto33 I don't understand why people don't actually just live in Jersey. It's got pretty good amenities and is only an hour flight to the City. The total time you spend travelling, including airport times, is less than going from London to Bristol.
@@JC-kz3ut you'll never understand. you're an idiot.
Real valuable content! Can you make a video for Belgians? Thanks nonetheless!
Will do
How to avoid corporation tax in the UK? The government take so much money for no damn reason 😅🤦♂️
Depends on the details of your personal situation. Best to reach out
@@OffshoreCitizen ok thanks
Best is to contact us through www.offshorecitizen.net to discuss your personal situation
@@OffshoreCitizen ok
So moral of the story, don't live in the UK...
CFC and management and control rules are the troublemakers in most high tax jurisdictions.
They are yes, though in some countries they are easier to get around than in others.
So, how does the UK government prove or disprove where you're managing your foreign company from? Could I not argue at the moment that the pandemic has prevented me from travelling to the country where my company is based?
Also, does the OECD have anything to do with this? If my company is based in a country that isn't in the OECD, then how is the information shared with the UK?
Cheers
If they investigate it they can prove it with things like emails, your physical location, phone calls, etc
The OECD doesn't have anything to do with it, there's a variety of reasons a country might look at your or your assets usually banking is the first critical area but there are others as well.
Great video as always. UAE not cheap tho
Definitely not. Of course UK taxes also not cheap.
There are other options though for people who would rather have lower costs
What about if you are at British citizen who owns a UK company that earns money in the UK however, that person lives abroad (Let’s use Brazil such as my own example). that’s also say that the company is completely digital and doesn’t have any physical offices or premises in the UK?
UK limited companies are always UK taxable
Thanks for that. Much clearer than other videos I have watched. We have a small uk company but am looking to start an off shore company. Hungary sounds good but what is the process for having the management run it from Malta? I got very confused at this.! (I'm new to the whole subject)
Could you comment on company residence in bulgaria/Cyprus/UAE and personal residency (golden visa) in Thailand?
It can work but there's no one size fits all, really depends on your individual circumstances. The best option to get into specifics is to book a call so we can discuss the nuances as they apply to you and go over the best solution for your situation.
On the UK government website, it says that we are taxed on foreign income at the usual UK rates, so what’s the point of forming a company overseas?!
A foreign company is a separate legal person. Check out our other videos on the shbjct
corporation tax benefits more than likely, up to 25% SAVINGS if you are in a zero tax regime.
Is that the Gevora hotel?
Yes it is :)
@@OffshoreCitizen does the WiFi work well to work from there for a bit or just average?
@@User-sl4kg Gevora has absolute crap WiFi and when you're up really high data doesn't seem great either. Definitely not recommended in that regard.
Nice view but not a great hotel.
By contrast the Waldorf, which isn't far is like 380 Mbps download speeds, awesome!
@@MichaelRosmer thanks! I stayed at the Gevora for pleasure and I was expecting more indeed, I couldn't remember the WiFi but didn't use it much. First, they could clean the windows ;)
Im in the Uk have a UK LTD company but have no active income from the UK. i sell cars online.
Cool with the right planning it might be possible to greatly maybe completely reduce the corporate tax.
You can send us a message through www.offshorecitizen.net to go over your situation
Thanks!
Want to setu p proprietary trading firm using company setup in gibraltar I am a UK resident. Thoughts please?
That’s a complex question. Proprietary trading companies are quite complicated and you might face some problems banking in Gibraltar.
Best would be to book a call and we'll discuss the best solution calendly.com/michael-rosmer
@@OffshoreCitizen would be worth making a vid on this subject alone
Great video!
I'm not sure if it's your mic, but the audio is garbled/distorted so it is difficult to understand you.
Very confusing and unclear explanations
You need to watch out for GILTI when owning a UK company as a US citizen
Actually no. UK falls under the high tax exemption. Now if you're using a flow through entity you deal with a whole other set of considerations.
I'm sorry but I don't understand why that solves the problem. You didn't address the CFC and management residency points. You only mentioned where the company can be, but then CFC rules still apply and management is in the UK, so what's even the point? I feel like you missed the main point of the question.
You need to establish foreign management and control.
As for CFC rules these depend a great deal on the type of income, much more complex topic so people are best to reach out to us to get into those nuances.
The objective of these videos is to give broad general informative not to provide specific tax planning
6:30 is when the answer starts
Hi Michael thanks for your work, what do you recommend for traders? In my case I live in the UK with a Slovakian passport and an paid by an American prop firm directly into my Revolut account, I also have the option to start an llc and employ myself and get paid that way what would be the best way without spending more than 10k again thankyou
Lots to discuss here, probably best to reach out directly and we'll be happy to assist
UAE banks are mostly on blacklist, esp with UK banks
Did you try to transfer to UK and UAE ? If not how do you know ?
Why?
False. I’ve sent multiple payments to companies in Dubai from the uk for services
Hi Michael. thanks for this very informative video. just to clarify. Managment and control (outside of the UK) means you dont have to do pay taxes? I have a UAE company I want it to own my UK company and send dividends there to be tax free.
If both me and the UAE company are in the UAE could It own controlling interest in the UK company?
The UK company will be taxable in UK. A foreign registered and managed company won't be.
Yes a UAE company could own a UK company
@michael_rosmer I’m from Canada and live in Toronto. I have a UK passport too. My best friend from university is a Cayman Islands citizen and he is my Caymanian partner for our Cayman Islands ordinary resident corporation. We are heavily into crypto and when the bull run is over I will likely be well over 7 figures. I have another good friend who is a Portuguese citizen who offered to hire me on a work permit. I know I have to leave Canada, any of these countries are an option for me, what do you suggest I do?
Definitely could be, details matter so it's something we'd need to discuss.
Hope you did well with them 7 figures homie!
Hi Michael, informative video as always but i have a question. I’m an oil and gas worker/contractor and live in UK, can i open a consultancy company in Dubai and still work offshore UK without having to pay UK tax? I know it’s quite complicated, but would appreciate the help 😊
Yeah also looking into this. It depends on where the main source of “management and control is”. I’m not sure how it is possible to control from Dubai if in the UK. Would be great if you could confirm please Michael! Thanks!
@@thewealthcreatorsclub would that mean maybe utilising a team in dubai or maybe living in dubai for a certain amount of time?
@@glizzforman8094 yeah you’d have to live there or have most directors over there
What are your thoughts about a non-resident who would like to invest in the real estate market in UK through a Gibraltar based company?
What is the objective you're trying to achieve by doing so?
@@OffshoreCitizen The initial idea would be to open one company in London and another in Gibraltar to control this company. The company in London will own the property and pass 95% of the profit to Gibraltar, so it would avoid paying taxes on rent and sale
@@Jorgeiorio007 doesn't work, UK source income is taxed regardless
@@MichaelRosmer even with that structure of an English company being controlled by a company in Gibraltar? So the company would only make the profit in Gibraltar, the English company would not profit to pay taxes. And since Gibraltar only rates the territorial income, it would be 0% tax
@@Jorgeiorio007 no doesn't work that way. UK company would pay tax on UK income, transactions between them other than dividends would be transfer pricing
Hi Michael. Amazing content!
What would you recommend for one that live in Denmark, that currently have danish company like LLC, that want to reduce the cooperate tax and as well personal tax.
Will it be possible to move to Georgia, rent a place, and then set up a new company there, which will then own the danish company?
And will a resident need it?
Warmly,
Simon
Well the question is if you moved to Georgia why you'd want to have a Danish company?
@@MichaelRosmer Good question :-)
So basically, sell the danish company/assets to the new co. in Georgia, which is then own by your Georgia Holdning Co.?
@@simondethlefsen4340 but you have to pay local tax in Denmark on income , then can repatriate profits to Georgia company. of course there are ways to reduce your income too, that needs to be explored
UAE is the worst place to put your money in the total amount of fees they charge upfront is equal to 35% tax added to that the high temperature and unstable laws that can change overnight ..
Depends on how much money you're making. If you're making $100k yeah stay away from Dubai. If you're making $2 million the fees are irrelevant
@@MichaelRosmer when u make 2 million you don't need to waste your time in Dubai I spent enough years in that region to know very well they are full of s**t pure lip service .. they rely mostly on regional instability saudis with cah coming over weekends and cash flow from iran .. supposedly under sanctions.. personally I would waste a penny there. Careful they will start charging you income as an influencer.
@@Hattinchannel I'm much more happy with UAE than with most other places
@@MichaelRosmer Mate .. do they pay you for advertising them? Cuz if they do then that means they tax you on influencing or this for that. Because if I go by what you say then the costs and the tricks they play are all irrelevant to you which makes your income high enough to dismiss their figures according to your own conclusion earlier .. on the otherhand I have my personal experience years working with those clowns opening three companies and my income was definatly more than 100K at the time.. and still think they are full of it .. please keep in mind that most people watching are small money people trying to save something from greedy governments .. so your advice either way on UAE would be useless to them.
@Gabriel any transaction you have has a fee
Guys if you are thinking about pretending to live in dubai don’t. You will get caught. Do it legally and read gov website for all the rules.
If you have an internet marketing company that does lead generation for a client base globally. And all activity is done online and with freelancers from Phillipenes and India
Where is better to setup ? Gibraltar or Dubai ?
Profits anticipated of 300k in year one, happy to emigrate to Dubai
The answer varies based on many other details. It would probably be best to reach out and we'd be happy to work on the optimal strategy for you
@@OffshoreCitizen sure I appreciate there are many options and it would be best to call. I’m thinking freelancer working nomad visa may be the cheapest and more simplistic approach if living there 9 months + a year in uae
Can you do also a video for Germans :D?
Great suggestion, will do
@@MichaelRosmer that would be great bc we had some bad trading tax laws implemented last year
@@ControlTheGuh which?
@@patrick1992 Capped losses and didn't recognize option Spreads as one trade anymore. Let's say you sell one leg and buy the other 100-110 credit spread for 100usd and hope the market goes down. It does and the spread becomes cheaper on both legs. You will gain say 100usd on the sold leg and lose 50 USD on the 110long leg making you an overall gain of 50 for the trade. In Germany the losing leg (110) is seen as a sole trade and the losses are capped acc. After 10k it's all profit from the 100leg and the losses for the 110 can only be taken forward into the next fiscal year. It basically killed retail option investing as well as protecting Portfolios with puts thus exposing retail investors
A clear as mud unfortunately yoh should stick to another subject in my opinion because you’re not good at teaching this subject
I didnt understand this video at all. Please list the different elements first and break the down. You are rambling in and out of different topics and therefore seriously confusing my brain.
Good to understand the actual rules themselves. Have you checked out our videos on tax residency and CFC rules?