Recent content by cybergold2

You are absolutely right, that businesses need to pay VAT and sales tax. This however has nothing to do with an entity being considered tax transparent (pass through/disregarded) for income tax purposes. When you talk about tax liability you need to ask: who is liable ? The entity or the...

Be careful in Europe; The EU has passed a directive ( EU Directive 2020/284), asking all payment processors to report cross border payments to the tax authorities. This is meant to combat VAT fraud. It is a EU statute and will only apply in Europe. It is good business practice to follow these...

I am not sure what you want to say exactly. 1) disregarded entity An LLC is disregarded as an entity for tax purposes if you select to treat it as a partnership. If it is treated as a partnership, then the partners have to pay taxes on the LLC's profit. That the partners pay the taxes is...

Please clarify with amazon: are you supposed to issue a W9 to one of your customers to whom you paid more than 600 USD in a tax year ? That does not make a lot of sense for dropshipping since your suppliers are outside the US and do not pay US taxes. Of course you can issue a W9 but it does not...

You create a company to protect your personal assets from liability, e.g. the business goes down, but you still keep your car/house/etc. If you provide marketing services the risk of liability is pretty small, unhappy clients typically will not hire you again instead of sueing you for a shitty...

to keep things in perspective: https://www.vatcalc.com/global/how-many-countries-have-vat-or-gst-174/#:~:text=Since%20the%20first%20introduction%20of,175%20countries%20around%20the%20world. All non-EU VAT charging countries are looking at the directive to see how much money it will make the...

I hated Dubai, even though I was there only for a couple of days. Glitzy (at times), nothing going on, shopping is the hightlight of the day. There is more to life than saving taxes.

Consider setting up a company in HongKong: You only pay taxes on income generated in HongKong. If you make money by selling something at a profit in the US, not taxable in HongKong. Also consider reducing your profits as follows: Holding company | owns Operating company US...