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Any UK People here that can recommend offshore company and bank setup?

Discussion in 'Business & Tax Advice' started by laddytoads, Feb 14, 2012.

  1. laddytoads

    laddytoads Newbie

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    Hi, looking to set up a company offshore for tax reasons as most of my income is done online in dollars.

    Anyone in the UK that could recommend a good service that set this up with Barclays offshore as well in Seychelles.

    Thanks
     
  2. wannabie

    wannabie Elite Member

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    Ask redknapp?

    In the long run its cheaper to pay tax if you get caught
     
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  3. laddytoads

    laddytoads Newbie

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    Haha, this is a legal loophole!

    Nothing wrong with setting up offshore when you dont make money in the UK. Its the smart thing to do!
     
  4. oxonbeef

    oxonbeef BANNED BANNED

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    Not as exclusive as Rosie in Monaco but I can offer you Tyson on Canvey Island.
    http://newsthump.com/2012/02/08/redknapps-dog-gets-five-years/
     
  5. laddytoads

    laddytoads Newbie

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    Cheers for the great advice you two fools :D
     
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  6. gilbertbank

    gilbertbank Newbie

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    Look for info to set up a llc in the us, Delaware. Set that up and you are sorted with dollars and us tax as you are uk resident. Barclays and HSBC have branches and you have to be known to the bank to open account in us. Get advice about evasion and avoidance.
     
  7. Harley1

    Harley1 Newbie

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    Gibralter.
     
  8. oxonbeef

    oxonbeef BANNED BANNED

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    Here you go mate try these.
    Code:
    http://www.turnerlittle.com/
    I've spoken with them on the phone and they seem very professional
    and they've been around for a few years now.
     
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  9. savvypro

    savvypro Regular Member

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    Your income may be done online and in dollars, but as long as you live in the UK for more than 90 days a tax year. The tax man will want their cut.
     
  10. jerra

    jerra Regular Member

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    Try HSBC. They can help you, I know they offer this facility.
     
  11. BlueTurtle

    BlueTurtle BANNED BANNED

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    You only have to pay tax on personal income that you bring into the UK. There's nothing stopping you running other companies in places like the isle of man.

    Money that you keep in the business you only pay the company tax for the country the company is registered in.

    Most big companies pay very little tax, it's silly to do online marketing with a UK Ltd company. You only need a UK Ltd if the company is doing business in the UK, but even then you would just create other parts of your company offshore and limit the part of the business that operates in the UK.
     
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  12. wannabie

    wannabie Elite Member

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    Have you got a source of that info? If that's true and I can do that then I'll pay for jrvip for you

    Im not taking the piss either

    Have you done that yourself? Seems bit too easy
     
  13. BlueTurtle

    BlueTurtle BANNED BANNED

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    Sent you a pm.
     
  14. savvypro

    savvypro Regular Member

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    Unless the rules have changed (in this tax year), it's only applicable to foreign nationals, who pay the £30,000 or so - one off yearly fee, to not have to pay tax on income brought into the UK. Money they earn in other countries and not brought into the UK isn't taxed.

    Yep (but it depends on the country and the type of company, a good example is: US LLC's, as they are pass-through by default). The sticking issue is that if the tax man in the country you run the company from (lets say the UK). Decide that the company is managed in that country, they will demand their cut. Which is what my previous post is about. I once had a heated debate with my accountant about this, based on his tone he must have had a few clients who have been caught out.


    It's not silly to use a UK Ltd, especially if the management doesn't live in the UK, and the income isn't directly derived from the UK.

    But then again, take a look at Google. Over a billion is paid to their Ireland HQ (from just the UK via adwords), where they pay tax. Their UK LTD only pays a few hundred thousand in tax. Instead of £400,000 million. There was an article about this not that long ago, the conservative MP that was quoted expressed outrage, but he clearly knew that they were working within the law.
     
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  15. BlueTurtle

    BlueTurtle BANNED BANNED

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    The difference is you're not bringing money *into* the UK. You only bring your salary into the UK and pay tax on that, there's absolutely no need to bring all your money into a UK bank and get spanked on tax.

    Just a FYI that I'm not spouting stuff I've learned from Google here. This is the advice my accountancy/law firm has given to my business.

    The controlled foreign companies legislation is about artificially diverting UK profits offshore. Ie, multinationals just creating subsidiaries and creating all their departments in those subsidiaries to move the profits offshore to avoid tax.

    There's ways around it with holding companies though, otherwise all the UK multinationals would be paying full UK corporation tax, which they most certainly don't.

    The difference with affiliate marketing is you're making money in the US, so you're not diverting profits from the UK. Running US sites, hosted on US servers with US traffic and getting paid by US companies is not UK profit.

    Also, how can the UK find out about your IBC based in the seychelles? The only public records are the articles of association and memorandum of association which don't contain information about the shareholders or directors. The only information about the IBC is held by the company who manages the incorporation, ie, the attorney, and those documents are confidential unless ordered to be released by the high court in the seychelles which they'll only do if there's evidence of terrorism or other serious crime.

    A UK Ltd company has to legally disclose all subsidiaries on the self assessment corporation tax return, but you personally own the seychelles IBC, not any UK Ltd company.

    The CRC legislation is to prevent multinationals from diverting taxable income offshore, not individuals. There's no requirement that an individual needs to disclose offshore companies they have shares in like a Ltd company does.

    Therefore what you do is you personally own an offshore company and a uk Ltd. You can do business in the UK with your Ltd company and contract your other privately owned seychelles, or other offshore company to do various work, keeping only limited profits in your Ltd company. Ie, what you need to live off in the UK.



    Yeah, it's definitely not silly, it was wasn't clear what I meant when I said it's silly to use a Ltd, but I've clarified it above.

    The big big difference with these multinationals is it's WAY more complex for them to avoid tax. They need very complex avoidance schemes unlike an individual who can just own offshore companies without disclosing them, the multinationals HAVE to disclose ALL their subsidiaries, and I *think* they have to disclose profit/loss, even for subsidiaries in places like Delaware who don't require filing accounts.


    It's good we're getting an interesting discussion going on this. It's a *very* complex subject with so many loopholes and it's hard getting solid advice even from accountants unless they specialise in offshore tax planning.
     
  16. BenRosa

    BenRosa BANNED BANNED

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    Gibralter.
     
  17. savvypro

    savvypro Regular Member

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    Very important point which I meant to bring up. Salary and "dividends" are two different things.


    Never said you were, I only brought up Google because the hypocrisy (I posted about this in a different thread in this forum), was so blatant it was a joke. But only people who understand the difference between tax evasion (going out of your way to pay no tax) and tax avoidance (legal tax reduction) would see the hypocrisy.


    Agreed, although when it come to this subject I take the view: belt + braces + hazmat suit. As you never know what will happen. Laws can be changed (takes time), or a new interpretation of the law is defined (less likely, but one should have a contingency plan - if it does happen. Duct tape in my metaphor). So I think it's best to plan ahead - but that's just me.

    Under the rules of the IRS, it's US profits. The series LLC that I just setup, will not be doing any trading, as it will be a holdings company. So I have my basis covered on that. When I trade there, I'll be setting up different LLC's, in favourable states, and they will outsource as well as onsource.

    You are right, but only when everything is done in the Seychelles. As in: you fly there and do everything in person. Where the UK HMRC can find out, is if you use an incorporation company in the UK - to do the leg work. Using a UK lawyer could give you some protection, but the physical act of doing it in person, should mean that you ensure the separation. But not everyone is that disciplined.

    Talking about the Seychelles, any recommendations on who to use. I was planning on setting up the holdings company there (because of the series option), but while looking to setup a LLC in New Mexico, I came across another option.

    "not any UK Ltd company" I assume you mean: not the UK Ltd

    It's that way at the moment, but one should plan for when it changes to the way it is in the USA - where you personally have to disclose everything.

    I can see an issue with what you said, but it's with how it is implemented.

    Namely, using shell or dummy companies which don't actually do anything. If this can be proven (lets assume they can), then you are in deep sh*t. But if the offshore companies are real (not just a mailing address and a phone number), and they actually do things, have employees or subcontractors etc., then that's a different issue.


    The only thing I can add is: I'm not a lawyer or accountant. So anyone reading this thread should do their homework and find competent professionals. Don?t just rely on what they say, check for yourself, because at the end of the day - it will be your arse on the line. Oh, and always have a backup plan.
     
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  18. BlueTurtle

    BlueTurtle BANNED BANNED

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    Sorry, I didn't mean to sound defensive with that comment. I was just pointing out early on that I'd a lot of advice from an offshore tax planning firm.

    Sure, I agree.

    They've actually reformed the CRC legislation recently though to loosen it up to bring in more business to the UK.

    I'm not agreeing or disagreeing with this, but the way it works without going there in person is you have a UK tax planning firm, whom are made up of lawyers with contacts in other countries including the Seychelles. They'll then have the company setup for you by the attorney in the Seychelles. The attorney in the Seychelles is the one who holds the information on ownership, not the UK lawyers.

    Let's say I was doing business with my UK Ltd and Seychelles company and the HMRC suspected I the Seychelles IBC. Their only course of action would be to try to dig up information about the Seychelles IBC. Even if the lawyer in the UK had the information about company ownership on file and was forced to disclose it, how would they know which law firm in the UK was involved?

    [hmrc]------->[seychelles IBC]------->[Seychelles Attorney]------>[UK Lawyer]


    ALSO, an important point is that the UK Ltd is not sending money to the Seychelles. It's the other way about. Money is being brought INTO the UK. :) The HMRC wouldn't question that at all.

    The purpose of the relationship between the UK Ltd and Seychelles IBC is so you can legally extract money from the Seychelles and bring it into the UK. There's obviously much more intricate methods that'll save you tax, but the purpose of this transaction is not to save tax.

    The Seychelles IBC hires your UK Ltd to do something like, SEO, or web design, whatever you want. Then you invoice the Seychelles IBC, get paid and pay tax. You'd take maybe £10k/mo to live and leave the rest of the money in the Seychelles, which you can then just move to your personal Lichtenstein bank account for long-term safe storage.

    Sure, I'll send you a pm with the details of a reputable company.

    I don't think they require you to disclose everything? They certainly require you to disclose your IBC's though and it's for that reason IBC's are not recommended for US citizens.

    Yep, I agree, but as I said above money is coming from the Seychelles to the UK, not the other way around. :)

    [affiliate company]--->[delaware]--->[seychelles]-->[10% to UK, or whatever % you want to pay tax on]

    My Disclaimer:

    The only thing I can add is: I'm not a lawyer or accountant. So anyone reading this thread should do their homework and find competent professionals. Don’t just rely on what they say, check for yourself, because at the end of the day - it will be your arse on the line. Oh, and always have a backup plan.


    P.S. Please don't sue me for copyright infringement. ;-)
     
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  19. savvypro

    savvypro Regular Member

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    No surprise there, as the UK is one of the biggest tax havens around - as long as you are not a citizen.

    I was posting as if from the perspective of the ideal way of doing it, using lawyers is the next best - as long as there is that hand off.

    But will they do the bank account that way, not in reference to the PM, just in general - as most will not.

    Thanks...

    There is a way to do it the other way round, but the way you state - is simpler.

    No infringement.
     
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  20. BlueTurtle

    BlueTurtle BANNED BANNED

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    Yep :)

    The easiest solution for tax avoidance if you're going to be making a *lot* of money is to just go offshore 6 months of the year. That's my plan once I'm making over $1mil/year.

    For st vincent & the grenadines bank account, yep. You'll just need copies of your identification documents for them for the records.
     
    Last edited: Feb 20, 2012