It's good that Albania tries to diversify its narrow economy of organ and sex trafficking.
Stay classy!
Zero taxes for startups in Albania
31–40 of 43 posts
Re: Zero taxes for startups in Albania
#32One of the biggest taxes for startups tends to be the employment taxes eg social security and healthcare. That is what most European startups would like to see abolished or capped for startups. All the rest does not really matter.
In Estonia for example there is no corporate income tax for anybody, until you pay out dividends. At the same time, the employment taxes on top of salaries are 33% + there is a 20% personal income tax. That means net salary is just around half of company's cost. The proposal from entrepreneurs has always been to cap the social and healthcare taxes, because there is no good reason why a more educated person should pay more for healthcare and pensions.
Re: Zero taxes for startups in Albania
#33Earlier quoted context omitted.
If you need to hire software engineers onsite, I would not go for Switzerland, that is true. But it goes both ways. Switzerland is one of the few countries where employees do not need to work five days a week to pay the bills. Some tend to work Monday-Wednesday, because 60-80% of a middle-class salary is enough to live on. On Thursday and Friday one can chill or bootstrap something.
I keep hearing this myth, yet I know plenty who work effectively six-plus days work-weeks and zero doing part-time (at least in engineering)...
Talk to the guys from "Ergon Informatik" for instance - a Java shop from Zurich. Many of their engineers choose to do home-office on Thursday and not work on Friday.
Re: Zero taxes for startups in Albania
#34To put things into context:
Companies in Greece have huge problems to transfer money into foreign countries. There is weekly limit and you need approval from ministry for anything over a few hundred Euro. Many of them are moving to Bulgaria or other countries.
There are also many Albanien emmigrants in Greece. Many of them are going back home due to crisis. Many (20%?) people moved from Albania and they really need them back.
And third it is not that bad place to live for Internet based companies. It is near sea, nice weather, cheap etc... EU, Russia, Turkey and Israel are near. Also it is on good path to join EU.
Re: Zero taxes for startups in Albania
#35A few US state have zero corporate taxes: http://taxfoundation.org/article/state-corporate-income-tax-... And a few states have zero personal income tax: http://taxfoundation.org/article/state-individual-income-tax...
partially valid point. corporations are still subject to federal tax tho.
Re: Zero taxes for startups in Albania
#36Startups and small businesses in the United States organized as "S corporations" also pay zero taxes, and the qualification rules are a lot more permissive. To be a United States S corp the rules are: 1) Number of shareholders 2) All shareholders are humans and U.S. residents 3) There is only one class of stock For more, see: https://en.wikipedia.org/wiki/S_corporation
>2) All shareholders are humans
i assume individuals (?)
Re: Zero taxes for startups in Albania
#37Startups and small businesses in the United States organized as "S corporations" also pay zero taxes, and the qualification rules are a lot more permissive. To be a United States S corp the rules are: 1) Number of shareholders 2) All shareholders are humans and U.S. residents 3) There is only one class of stock For more, see: https://en.wikipedia.org/wiki/S_corporation
>2) All shareholders are humans i assume individuals (?)
Yup individuals. The shareholders can't be companies.
Re: Zero taxes for startups in Albania
#38Earlier quoted context omitted.
> Instead, the corporation's income or losses are divided among and passed through to its shareholders. The shareholders must then report the income or loss on their own individual income tax returns. That's not what I imagine when reading "zero taxes".
Exactly. Everyone is still taxed, is just a question of accounting as to who and how you get taxed. To say U.S. corps are zero-taxed is quite misleading.
Normally, with a C-Corp, there's double taxation. The company pays taxes on the profit, and then shareholders pay taxes on the dividends they receive. But what the shareholder pays is effective his individual tax -- not corporate.
And, I'm guessing Albania has individual income tax. Also, I'm pretty sure most of those countries with low or zero corporate taxes have individual income taxes.
Re: Zero taxes for startups in Albania
#39Startups and small businesses in the United States organized as "S corporations" also pay zero taxes, and the qualification rules are a lot more permissive. To be a United States S corp the rules are: 1) Number of shareholders 2) All shareholders are humans and U.S. residents 3) There is only one class of stock For more, see: https://en.wikipedia.org/wiki/S_corporation
>> Startups and small businesses in the United States organized as "S corporations" also pay zero taxes This is a misleading statement. S corporations are pass-through entities. In other words, all profits they make get passed through to their shareholders as income, who then pay taxes on their personal tax returns at their personal income tax rates. So technically the S corp is paying zero taxes, but only because th…
Wouldn't the owners/shareholders of companies in countries with low/zero corporate taxes still have to pay taxes on their individual income?
So how would this (S Corp) be different from what Albania is offering?
Re: Zero taxes for startups in Albania
#40It's good that Albania tries to diversify its narrow economy of organ and sex trafficking.
A slur like that has no place here. Please post civilly and substantively or not at all.