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Cayman Islands: Tax Haven? Free from US?

Discussion in 'Business & Tax Advice' started by milton, Jun 30, 2010.

  1. milton

    milton Regular Member

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    So the banking laws changed in the last few years making anonymous acconts in Switzerland and Cayman Islands now reportable to the IRS over amounts of $10,000 for any US citizen.

    I am wondering if its true for the Cayman Islands? Let's say I pay all my taxes, follow the laws but want to do some offshore banking (in case of court judgments, etc). I am wondering if the Caymans Islands will act independant of the US laws or if they are compiant?
     
  2. drdoc

    drdoc Newbie

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    You have to be afraid that during discovery the other side is going to ask for your tax returns where your income and your ownership of the corporation will show up nicely.

    Also, generally (I do not know the specifics of Cayman islands), countries enforce judgments against debtors after a cursory judicial review which sometimes is limited to checking wether the citizen received due process on the foreign venue.
     
  3. ecraigzon

    ecraigzon Junior Member

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    Who needs to know?!?!?
    The cayman islands are becoming more and more friendly to our tax law, in addition the banks are loaded with people working for the US gov. and illegally steal info for convictions. However 2 new good places are Zeichtenstein and Hong Kong.
    Another great method I use is hard assets (Gold Coins and bullion). That is un-taxable and un-inflatable.
     
  4. dollarkid

    dollarkid Newbie

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    Not quite true, I think you're forgetting capital gains tax.
     
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  5. iseegreen

    iseegreen Power Member

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    well you forget the papertrail created getting the money there in the first place

    you would have to earn the money outside the USA and transfer directly to the country you wanted

    even then though if they find the originating account your in trouble.


    I had an account in bermuda a few years ago and transferred small amounts of money that added up to 50k and I got a letter asking me to explain the source of the funds and what it was being used for - and they were watching my accounts for other suspicious activity... its not like it used to be.
     
  6. ecraigzon

    ecraigzon Junior Member

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    I agree with hexalor
     
  7. Miguel7

    Miguel7 Newbie

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    There is just too Many Variables & Also Depending your Country you Reside in & Which Country the Offshore Account is in AND how the Money is being Moved Around.

    I Used Offshore Account When I was 18, Ahh I was cocky thought I knew enough from my own Research, I didn't do anything Illigal it's just it can get messy. Next time I'd ONLY EVER seek proper Expertise in the area. I Myself don't Require it now but it is Stupid to not Use I beleive if you do have a fair amount of money, it's always a goodbackup/Security also the other reasons why you'd use it.

    It still is not bad looking around online for idea's but don't settle for what you learn online.

    Anyways hexalor Summed it up Best
     
  8. maclanes

    maclanes Newbie

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    I agree that tax law advice is best advised by tax lawyers. You can do some online searching for general law information, but it is never good to act upon legal advice found on the Internet. Professional advice is best in this case.
     
  9. cybermeid

    cybermeid Regular Member

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    Is it possible for US residents who are not US citizens but resident and non resident aliens to run their bank account in Cayman Islands.Can somebody explain the procedures in opening an account there?
     
  10. milton

    milton Regular Member

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    I am familiar with the Cayman Islands (Grand Cayman but more the sister islands) banking system. I am not familiar with the laws between them and the US. You can indeed get a private account there by being a non-resident. Contact a bank there to ask more questions. You do need to establish a reason for banking there, like looking t move to the Caymans or something. Also, be warned, I know people that lost all their savings. They do NOT have an equivalent of FDIC down there. The bank went under and they lost $4,000 (although was able to get $40,000 before too much).

    So I talked to a lawyer and they adviced with all the recent law changes from the EU (Cayman Islands are British West Indies, so they comply with British laws) changed by GB to fight terrorism, the laws are very much differant and not as safe as it used to be. Again, they suggest since the account is so far away and money moved is so slow to look at optins in the US. Particularly at trust accounts in Delaware where creditors cannot touch the money.
     
  11. ellmexicann

    ellmexicann Junior Member

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    Are there places where you can buy gold and they guarantee it's safety? Having 10-20k in gold at my house I think would feel kind of...weird lol
     
  12. milton

    milton Regular Member

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    Actually, I know someone who has gold bars in their house. They paint is black. The dumbest thing is that they tell everyone they have gold bars. I don't know the process but I know people buy it and I think a gold bar costs like $20,000. But gold isn't as liquid. If you got millions look at muny bonds, its untaxable
     
  13. CasinoJack

    CasinoJack BANNED BANNED

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    If you are making that much money, jump on a plane and go visit where you are thinking...


    Also, get a corporation, not your name..and if it is real money, then you want to look in to foundations..


    Hex was right though, this forum is the wrong spot and 90% of the internet is wrong.
     
  14. AtAllCosts

    AtAllCosts Junior Member

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    Depends where you live, there is no capital gains on gold profits in the UK for example.

    Also, ellmexicann most people I know just rent a safety deposit box for their gold at a local bank branch.
     
  15. milton

    milton Regular Member

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    Agreed, forum is the wrong spot, but was curious if people had experience in these matters.
     
  16. francayma

    francayma Junior Member

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    I have been living in Cayman Islands since 2004 and I can say that there is always a way to get around the tax man.
     
  17. milton

    milton Regular Member

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    What do you mean?
     
  18. juice

    juice Regular Member

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    Very true. When dealing with tax laws, (which could lead to possible jail time) it's always best to get advice from people who actually know what they're talking about. :rolleyes:
     
  19. francayma

    francayma Junior Member

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    you will always find a way to remain annonymus, you only have to pay a price, like any other services that you buy with money.
    you only have to know the right people.
    And it will be 100% legal.
    I know from experience.
     
  20. catapult copy

    catapult copy Registered Member

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    Always cosult a legal person but never take what they say as gospel as they may be wrong. What I would do is have a company in the caymans and then have a company in the likes of seychelles or similiar with seychelles company set up as directors of cayman company, and track back every thing from the caymans to there. Get a bank account with same country, use atm (they can't trace that yet) for small stuff. Use the company to purchase assets etc. That way you keep very annonomous