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Eric Schmidt has applied to become a citizen of Cyprus

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Re: Eric Schmidt has applied to become a citizen of Cyprus

#281

Post by xyzzyz »

areoform wrote: post #257
xyzzyz wrote: post #250

Earlier quoted context omitted.

> Apple has $192.8 billion in cash on hand. What exactly is it doing with this money? Is it spending it on fundamental research in optics, laser communication, optical computing, and other stuff? No, it's not. Most of Apple’s “cash” is invested in corporate bonds, which allow other companies to access capital in order to expand their operations and grow their productivity, and most of the rest is in government bonds,…

Yes, Apple runs the largest hedge fund in the world, but the question isn't whether they're getting some return on their investment (I'm assured that their hedge fund is). But rather, where's the long-term research that's necessary for future growth and human prosperity? If the logic of the comment I was replying to held, then Apple would be investing a commiserate amount into fundamental research. They're not. They'…

These bonds do fund growth and research, though. Why do you think the companies issue bonds in the first place? Same with governments: if you think buying government bonds is such a waste of money, why don’t you blame more the government for wasting it instead?

Re: Eric Schmidt has applied to become a citizen of Cyprus

#282

Post by ehsankia »

areoform wrote: post #67

If this is indeed for a tax dodge, what's funny is that the US Government helped fund Google. Or, more accurately, they funded the research into the seemingly esoteric problem that became Google; > In 1995, one of the first and most promising MDDS grants went to a computer-science research team at Stanford University with a decade-long history of working with NSF and DARPA grants. The primary objective of this grant…

Isn't it a bit of a stretch to connect funding that eventually indirectly lead to Google, with someone who was the CEO for 10 years (not even since inception)?

Google itself is still an American company paying taxes, Schmidt hasn't been the CEO of Google for a decade, I don't see why that's related. By that logic you could also say that the US Gov also helped pay for his high school or even kindergarten maybe.

I'm not really taking a side here, but it seems like your argument is a bit too broad.

Re: Eric Schmidt has applied to become a citizen of Cyprus

#283

Post by wukerplank »

addicted wrote: post #184
wukerplank wrote: post #138

Earlier quoted context omitted.

So, what is this? His passion for the Mediterranian? Reconnecting with his ancestor's roots? BTW: All tax systems are draconian, at least to the middle class. Not to people who can afford creative lawyers.

If you compare countries by how well they collect taxes, I am pretty sure it will completely correlate with how well their middle classes are doing. So it’s really hard to see how taxes are draconian for the middle classes. Or draconian at all.

The "draconian" was a reference to a different comment by parent (https://news.ycombinator.com/item?id=25038688).

Whatever your opinion is about taxes and the middle class: It's easy for the wealthy to not pay taxes - that was my whole point.

Re: Eric Schmidt has applied to become a citizen of Cyprus

#284

Post by pembrook »

dundarious wrote: post #251
pembrook wrote: post #113

Earlier quoted context omitted.

This is not a tax dodge. There is no way to dodge taxes as a US citizen by moving abroad, the US is the only country in the world with a real global taxation system. EDIT further information I posted below: The US has the unique position of being able to actually enforce this due to the fact the USD is the reserve currency of the world and every country needs to stay on the good side of the US Treasury to transact in…

I'm sure Erich Schmidt has access to resources not available to your friends. There is absolutely the potential for a tax angle to this application, perhaps involving creating business entities in Cyprus to avoid the IRS's reach. That is of course just my suspicion and I could be wrong, but I think my suspicions are reasonable enough to dispute the strength of your claims ("There is no tax dodge. There is no way to d…

It's amazing to me how strongly people want to believe there's some magical way that rich Americans are avoiding taxes by hiding money in exotic locales.

This was possible in the past for Americans, but it doesn't make sense anymore. That's the truth. The secretive Swiss banks and numbered accounts you read about in adventure novels as a kid are all reporting on US citizens now.

It doesn't matter how much resources Eric Schmidt has, the US government has more resources and power than Eric Schmidt. Especially given he's a widely known public figure, he'd be the perfect target of any investigation.

US taxes are already extremely favorable to the rich. Do you seriously think he'd risk his freedom and reputation over something so stupid?

Re: Eric Schmidt has applied to become a citizen of Cyprus

#285

Post by mike_d »

CalChris wrote: post #21

Cyprus is the easiest (if expensive) way to get an EU passport which is useful for travel. I don't read much past that. He already has an army of lawyers and accountants to deal with his taxes. https://www.goldenvisas.com/cyprus

You are spot on. This was for travel to the EU, and likely a hedge against Trump winning re-election.

I'm working on doing the same, not because I care about taxes (which as others have pointed out doesn't really apply here) but because citizenship is a single point of failure.

Re: Eric Schmidt has applied to become a citizen of Cyprus

#286

Post by cblconfederate »

socrates1998 wrote: post #98

Would be nice to be able to do whatever the hell you want, whenever you want. Billionaires play by their own rules, the rest of us plebs need to stay in our place.

it really doesnt cost that much to buy a second visa for someone who works in SV.

Re: Eric Schmidt has applied to become a citizen of Cyprus

#287

Post by mike_d »

rethab wrote: post #221
enriquto wrote: post #148

Earlier quoted context omitted.

I do not understand why selling citizenships is wrong. If both the seller and the buyer agree to a price, what's the problem?

Listened to a podcast about this subject recently (in German though: [0]). What eg. a German (very!) rich person would do is get a second passport in Cyprus and then open a Swiss bank account. To the Swiss bank, they'd say that they only have that one passport from Cyprus. Therefore, the Swiss bank does not report to the German state that the German individual has a bank account. This is how that person avoids German…

But this doesn't apply to the US. After 9/11 international banks have to share account details with the US Government if they want to transact with US banks.

Re: Eric Schmidt has applied to become a citizen of Cyprus

#288

Post by cblconfederate »

mFixman wrote: post #273
cblconfederate wrote: post #258

Earlier quoted context omitted.

malta cyprus, ireland etc are useful for setting up business there . you can set up a local business that receives royalties from other companies and benefit from relatively low tax. He s probably not doing it for taxes, but for a convenient EU passport and a humble abode in the mediterranean

Can't you set up an offshore business in a tax heaven without being a citizen?

sure. i guess being american means you d have to report dividends back to the IRS.

Re: Eric Schmidt has applied to become a citizen of Cyprus

#289

Post by mike_d »

mFixman wrote: post #238

I don't understand why he does this. The IRS will tax him regardless of whether he has assets in the US or outside of it, and he's rich enough to get a working visa to anywhere. Does anyone know of any other possible tax advantage a rich American might get from Cypriot citizenship?

I know at least a dozen people who were actively working on getting a second passport to flee the US pending results of the election.

Re: Eric Schmidt has applied to become a citizen of Cyprus

#290

Post by ransom1538 »

areoform wrote: post #67

If this is indeed for a tax dodge, what's funny is that the US Government helped fund Google. Or, more accurately, they funded the research into the seemingly esoteric problem that became Google; > In 1995, one of the first and most promising MDDS grants went to a computer-science research team at Stanford University with a decade-long history of working with NSF and DARPA grants. The primary objective of this grant…

" If this is indeed for a tax dodge, what's funny is that the US Government helped fund Google. Or, more accurately, they funded the research into the seemingly esoteric problem that became Google;"

Boom. We have someone that knows what they are saying. Yes. It is a tax covered shell. Wonder why your $23.29 check from google for 1.2 million impressions is coming from Ireland?

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