The following paragraphs summarize the work of Taxes experts who are completely familiar with all the aspects of Taxes. Heed their advice to avoid any Taxes surprises.
Need an Offshore Sales Office in a Tax Free Environment?
The 100 year old investment - banking firm of Warburg, Dillon Read ( on Park Ave. N. Y. ) ( now UBS Warburg ) has assistance in 39 external countries - including the Bahamas, the tiny Cayman Islands, Hong Kong and the Channel Islands. Makes you incredulity why, doesn't it?
Non - resident foreign companies, trusts, banks and individuals can trade stocks, bonds, commodity contracts and options 100 % free from U. S. capital gains taxes.
Under the U. S. Tax Code, only when a foreign company, foreign trust or nonresident alien individual takes up permanent residence within the United States leave he be subject to U. S. capital gains taxes in the same way as maid taxpayers. For a corporation permanent residence would be a U. S. office or warehouse. Capital gains realized by foreign corporations and other nonresidents " not engaged in a trade or business within the United States " are exempted from tax below IRC Section 871
and IRC Section 881 & IRC Section 897 ( c ) ( 3 ). Moreover, U. S. Treasury Regulations Section 864 - 2 ( C ) ( 1 ) & ( 2 ) provides an exception for what embodies because " slaving in a trade or business within the United States ". Unbefitting U. S. regulations, a nonresident's Stock Mart transactions carried - out through a U. S. stock broker, apparent agent, or an employee are not voiced to cause the nonresident to be " engaging in a trade or business within the United States ".
Publicly traded stock market gains ( from NYSE, NASDAQ or AMEX listed stocks and bonds ) accruing to an offshore company are free of US capital gains taxes by the Internal Revenue Tax Code's statutes, but " US Shareholders " can have a tax liability ( indirectly ) if the offshore company is a " Controlled Foreign Corporation ( CFC ) ( i. e., " more than 50 % of voting and non - voting stock is owned by US SHAREHOLDERS ). Scan sections 951 thru 958 of the IRC. See especially Code -
Section 951 ( b ) for the definition of US SHAREHOLDERS.
American taxpayers that use tax havens are taking more risks ( generally ) than a foreign non - tenant alien ( not a US citizen ). Whether an American citizen taxpayer will have a tax liability on the offshore company profits depends on a lot of things - including what kind of income is produced by the company ( i. e., Subpart F or non - Subpart F ) and how many shares in the company you own, and whether the offshore company is a CFC - as defined in the Internal Booty Judicatory in
Sections 957 and section 958.
More on the No - tax haven of Anguilla. Click onto the link below for the details http://www.geocities.com/taxhavens123/caribbeantaxhavens.html
A Tribute in Honor of: Bank Confidential Ordinances in the Caribbean
http://www.geocities.com/taxhavens123/bank_confidentiality.html
The Old Monied Dupont Nemours and Roosevelt Families Buy a Tax Haven
Want to know why and how the old monied Dupont Nemours and Roosevelt families were able to buy 4, 000 acres of waterfront property on the island of Provindentcials in the tax free, throne protectorate ( or " Overseas Territory " ) of the Turk and Caicos Islands for 1 cent an acre?
This 4, 000 acre sale ( now a marina and resort spot - with an airport for jumbo jets ( the $50, 000, 000 airport was donated by the UK government ) went down in the 1970's - not the 1870's!?!?
Source: A Turks & Caicos Government 3 full page advertisement in Investor's Daily ( 1985 ).
Was this the notably profitable real estate investment of the 20th century? A quarter acre lot in the gated community of Sandyport here in Nassau, Bahamas sells for approximately $260, 000 today. Half acre canal lots in Lyford Cay sell for about one million dollars.
Do the math. On an incipient investment of just $40, the 4, 000 acre property might be worth almost 4 BILLION dollars today.
YOU BE THE JUDGE.... Are the use of the world's tax havens a boon or a detriment? Before you answer, see some of the IRS's loopholes from our " Tax Code " - discovered for your viewing below, and buried inside the tax law for the taxpayers! There's a very great loophole for the non - resident foreigner you should not overlook!
Tom has lived offshore in the Bahamas for over 10 years. When I'm not working on my newsletter, or with a client, I'm extrinsic swimming, diving or sport fishing in the fulgent - tax - free Bahamas.
Tell me at 242 - 327 - 7359 with your questions. - 9AM to 5PM - New York time zone is best.
Tom Azzara New Providence Estate Planners, Ltd. ( Lawyers and Consultants ) 54 Sandyport Drive P. O. Cave CB 11552 Nassau, Bahamas Fax / phone: ( 242 ) 327 - 7359 Fax/phone: (242) 327-7359email: taxman@batelnet.bs
