Ask HN: Is it worth to move to another country for 1mil$? • Hacker News Board

Re: Ask HN: Is it worth to move to another country for 1mil$?

#51

Post by jitendrac » Thu, Jan 21, 2021, 8:19 AM UTC

Denniz wrote: post #47

jitendrac wrote: post #41

why not create a company in tax friendly country and transfer all your business to it. work as a CEO/Remote emplotee of it,Get healthy base salary as fixed income from it ,whatever else you need can be given to you as business expense and allowance. all money lays in the company with lower tax jurisdiction.

Doesn't work or very difficult to do. CFC rules.

Doable with many proxies in tax-heaven who acts like the real company board, holds virtual meetings etc. They create all required paper trails which can comfortably bypass CFC restrictions.

Re: Ask HN: Is it worth to move to another country for 1mil$?

#52

Post by MichaelRazum » Thu, Jan 21, 2021, 10:28 AM UTC

jitendrac wrote: post #51

Denniz wrote: post #47

Earlier quoted context omitted.

Doesn't work or very difficult to do. CFC rules.

Doable with many proxies in tax-heaven who acts like the real company board, holds virtual meetings etc. They create all required paper trails which can comfortably bypass CFC restrictions.

So if it is in the gray zone, then not sure I'm willing to take the risk. We had here some lawsuits where people had to pay huge penalties. Even prison is possible.

Have been thinking about openning a company in Gibraltar. Best case would be 10% cooperate tax + 25 % tax on dividend. So you are a bit better of compared to a tax rate of 45%. More important would be a hedge against the regulatory risks.

As you said you need a managing director and maybe some employees. Have you done something like this or could you provide some more info's? Of course it should be legal!

Re: Ask HN: Is it worth to move to another country for 1mil$?

#53

Post by david927 » Thu, Jan 21, 2021, 4:10 PM UTC

Denniz wrote: post #50

david927 wrote: post #23

Earlier quoted context omitted.

It's funny that you chose Zurich for your example. It's a city I've lived in for many years and I think I can honestly say it's one of the great cities in the world. Safe, clean, and gorgeous. The language is really hard to learn, even if you know German, and almost impossible to sound like a local. It's also almost impossible to make friends except for expats here and there. So you're always an outsider in a town wh…

It was just most convenient choice. Good airport connection and as you said it's rating is quite high. Guess the language would be the most annoying thing. Other choices would be Malta or Cyprus regarding taxes, but they are far away and I think the cultural match would be in Swiss higher.

If you like mountains, snow, skiing and hiking: do Zurich.

If you like beaches, heat, and small French towns: do Monaco.

(IMO)