Yeah except some people have lives, family, friends, and other ties to the US and want to be able to come and go freely, which you can't do once you give up citizenship. Plus there's also a big difference between being a 2 hour flight away from the US vs a 12-16+ hour journey from other "popular" countries. And who the hell wants to live in Bulgaria? Most people in the US could get acclimated to living in PR very quickly. Many would call it a tropical paradise if they're coming from Detroit or the midwest. I'm pretty sure if you ask most people if they'd like to move to Bulgaria they'd say hell no. You couldn't pay me to live in Bulgaria.
Move to Puerto Rico and pay no taxes?
- Thread starter dsiomtw
- Start date
Yeah except some people have lives, family, friends, and other ties to the US and want to be able to come and go freely, which you can't do once you give up citizenship. Plus there's also a big difference between being a 2 hour flight away from the US vs a 12-16+ hour journey from other "popular" countries. And who the hell wants to live in Bulgaria? Most people in the US could get acclimated to living in PR very quickly. Many would call it a tropical paradise if they're coming from Detroit or the midwest. I'm pretty sure if you ask most people if they'd like to move to Bulgaria they'd say hell no. You couldn't pay me to live in Bulgaria.
You don't have to live in Bulgaria when you get your passport. You can live anywhere in the EU.
There are other options like Singapore. Singapore is part of the US visa waiver program. You can visit the US for 90 days w/o a visa.
In any case, no one solution will work for everyone but it's important to know your options.
Puerto Rico is basically a poor man's Hong Kong with far less constitutional protections in place. But I guess it's also the only legal option for US citizens if they want a huge tax break. It is novel in that regard.
So do Puerto Rico corporations only have to pay tax on PR sourced income, and any non PR income is tax free? Or is there a corporate profits tax for all income?
Anyway, I think this can only work if you're seriously into the idea of living on a tropical Caribbean island and willing to embrace Puerto Rican culture. I really love Chinese culture, so HK is a perfect match for me personally.
Also like Mont said, Puerto Rico is devolved from the Federal government. It has no residual powers of its own. Any autonomy the Puerto Rican government has is under the authorization of the US Federal government. Also since it's an unincorporated territory, the US constitution doesn't apply. Thus the US Federal government can unilaterally decide to prevent Americans from claiming tax free dividend payments in Puerto Rico if they want to.
So do Puerto Rico corporations only have to pay tax on PR sourced income, and any non PR income is tax free? Or is there a corporate profits tax for all income?
Anyway, I think this can only work if you're seriously into the idea of living on a tropical Caribbean island and willing to embrace Puerto Rican culture. I really love Chinese culture, so HK is a perfect match for me personally.
Also like Mont said, Puerto Rico is devolved from the Federal government. It has no residual powers of its own. Any autonomy the Puerto Rican government has is under the authorization of the US Federal government. Also since it's an unincorporated territory, the US constitution doesn't apply. Thus the US Federal government can unilaterally decide to prevent Americans from claiming tax free dividend payments in Puerto Rico if they want to.
Highly unlikely as if they get in the way of what PR is trying to do they'll have to bail them out before long, and they don't want to get involved in that. I don't think people like Peter Schiff, John Paulson and others would be moving there, moving their companies there, buying hotels there, etc. if they thought this was going to happen any time soon. I've spent a lot of time on tropical islands in the Caribbean, and I rather like them.
With the savings in taxes you'll be able to fly to and fro anyways - perpetual travelling!
Expatriation is when you're going at 6 figures and beyond (7 to be save).
More importantly, what are the women like?
Nevermind, I'll answer that for you.
Pros.
1. Most of puerto rican women are bilingual.
2. Puerto rican women are extremely feminine.
3. They are excellent caregivers and revere their children, male or female.
4. Puerto rican women love to party and enjoy dancing.
5. Puerto rican women love things that are feminine.
6. Puerto rican women are famed for their strong family bonds and traditional roles.
7. Puerto rican women are very sexual and loyal.
8. They are strong minded individuals.
9. They are up to date on modern fashions, wear provocative clothing, and wear cosmetics.
10. They treat men like kings in the bedroom and home.
11. They can make any man instantly fall in love with their swift moves and confidence.
12. They partticipate in many sport activites, going to the beaches, and love to travel.
13. They pursue higher degrees and many will attend colleges in the states.
14. They will never walk out of their homes unmade.
15. Bit short but have perfect full figures with a bit of a trunk.
16. They love to show off their assets.
17. They take education very seriously.
18. Puerto rican women are very sexy.
19. These women love to stand out by wearing outlandish jewelry and clothing.
Now for the cons
Cons
1. They are very dominant in a relationship and home.
2. Puerto rican women will expect to be put on a pedestal and all attention is to be on her.
3. Puerto rican women are not subservient to men.
4. They are notorious for having hot tempers.
5. When in comes to looks, it's very important to them, Men that aren't well groomed are shunned.
6. Wondering eyes will cause jealously and a public mood swing will ensue upon them.
7. They constantly want to be lavished with innuendo.
8. They will be turned off by any man that cannot perform her expectations.
9. They have been known to make a scene and participate in domestic abuse.
10. Most likely for modern puerto rican women not giving up their careers in order to start their families.
11. They took female empowerment very seriously (feminism).
12. She will likely not tolerate a bum or any man that does not strive to have things.
13. They're very bossy when they demanding respect.
14. Their fathers are obsessed over their daughters and treat them like little princesses.
15. Puerto rican women have very high expectations.
16. If a man cheated on a puerto rican woman, she'll get very upset (Other words,she will not tolerate a cheating man).
17. They crave jealous behavior in their men.
Pros And Cons Of Puerto Rican Women. : Happier Abroad Discussion
Nevermind, I'll answer that for you.
Pros.
1. Most of puerto rican women are bilingual.
2. Puerto rican women are extremely feminine.
3. They are excellent caregivers and revere their children, male or female.
4. Puerto rican women love to party and enjoy dancing.
5. Puerto rican women love things that are feminine.
6. Puerto rican women are famed for their strong family bonds and traditional roles.
7. Puerto rican women are very sexual and loyal.
8. They are strong minded individuals.
9. They are up to date on modern fashions, wear provocative clothing, and wear cosmetics.
10. They treat men like kings in the bedroom and home.
11. They can make any man instantly fall in love with their swift moves and confidence.
12. They partticipate in many sport activites, going to the beaches, and love to travel.
13. They pursue higher degrees and many will attend colleges in the states.
14. They will never walk out of their homes unmade.
15. Bit short but have perfect full figures with a bit of a trunk.
16. They love to show off their assets.
17. They take education very seriously.
18. Puerto rican women are very sexy.
19. These women love to stand out by wearing outlandish jewelry and clothing.
Now for the cons
Cons
1. They are very dominant in a relationship and home.
2. Puerto rican women will expect to be put on a pedestal and all attention is to be on her.
3. Puerto rican women are not subservient to men.
4. They are notorious for having hot tempers.
5. When in comes to looks, it's very important to them, Men that aren't well groomed are shunned.
6. Wondering eyes will cause jealously and a public mood swing will ensue upon them.
7. They constantly want to be lavished with innuendo.
8. They will be turned off by any man that cannot perform her expectations.
9. They have been known to make a scene and participate in domestic abuse.
10. Most likely for modern puerto rican women not giving up their careers in order to start their families.
11. They took female empowerment very seriously (feminism).
12. She will likely not tolerate a bum or any man that does not strive to have things.
13. They're very bossy when they demanding respect.
14. Their fathers are obsessed over their daughters and treat them like little princesses.
15. Puerto rican women have very high expectations.
16. If a man cheated on a puerto rican woman, she'll get very upset (Other words,she will not tolerate a cheating man).
17. They crave jealous behavior in their men.
Pros And Cons Of Puerto Rican Women. : Happier Abroad Discussion
The US constitution doesn't "apply" anywhere on earth, unless you have a gun directly in your face saying so at any particular moment.
There's different ways to define and record "violent crime." Homicide is one category where there is probably the most parity in terms of definition and accuracy of statistics. In that area Puerto Rico has a rate over double of the closest US state (Louisiana).
List of countries by intentional homicide rate - Wikipedia, the free encyclopedia
'Don't Give Up On Us': Puerto Ricans Wrestle With High Crime : NPR
Actually, I believe Detroit has the highest murder rate based on the most recent (2012) stats. Either way, I'm not sure that looking at murder rates at the state level (assuming PR was a state) is very accurate...
You could live in Pentwater, MI where crime is virtually non-existent, or you could live in Detroit, MI where the murder rate is literally 10-15 times higher. Both are in Michigan. Does it even make sense to compare one state vs another??
There are cities in California that have murder rates DOUBLE that of Puerto Rico. Places like Oakland, Stockton, etc. I don't spend any time in those areas, so WTF do I care ...
And obviously there's "collateral damage" but generally speaking most of the violent crime in PR is drug-related, just like in Mexico for example. So unless you're involved in that shit, you're safer than the stats might suggest no?
Or how's this one for a stat...
According to "injury and death statistics" from 2014 at the link below, based on average lifespan, etc. etc. you're just about as likely to die from a car accident in the US then you are to get murdered in PR ... so at the end of the day what does it really matter?
http://www.nsc.org/news_resources/injury_and_death_statistics/Documents/2014-Injury-Facts-43.pdf
Not to mention, if things go as planned, as the economic situation in PR improves, unemployment and thus crime will go down ...
According to "injury and death statistics" from 2014 at the link below, based on average lifespan, etc. etc. you're just about as likely to die from a car accident in the US then you are to get murdered in PR ... so at the end of the day what does it really matter?
http://www.nsc.org/news_resources/injury_and_death_statistics/Documents/2014-Injury-Facts-43.pdf
Not to mention, if things go as planned, as the economic situation in PR improves, unemployment and thus crime will go down ...
I'm heading to PR in December for 6 months or so to look into potential relocation/homesteading options in the interior mountain regions. All reports indicate that those high-crime areas are centered exactly where you'd expect them to be, so should be easy enough to avoid most of that horseshit.
Never been to PR, but spent a month in Barbados before, and that was enough of the Caribbean for me. I'm still alive, and it was a month filled with adventure, so I guess that's a positive. That's about it though.
Even my cleaning lady, "you know, I could kill you right now, throw your body in the jungle, steal all your stuff, and nobody would ever know or care". Well gee, aren't you a charmer. This is a lady with keys to the place, and is supposed to be taking care of me.
Even my cleaning lady, "you know, I could kill you right now, throw your body in the jungle, steal all your stuff, and nobody would ever know or care". Well gee, aren't you a charmer. This is a lady with keys to the place, and is supposed to be taking care of me.
LOL yeah Thailand is DEF better than Puerto Rico. Shit I think I just pissed myself laughing so hard...
Plus comparing PR to Barbados is comparing Apples and Oranges. And yeah Thailand is a joke.
Thailand has a bad legal system, non existent/weak civilian government, unfriendly tax policy, poor human rights record, and political instability. Obtaining permanent residency in Thailand is also pretty unpredictable due to the lack of a rule of law and stable government.
I'll take Hong Kong over that any day. I can totally see PR being very attractive for Americans though as long as the IRS allows the status quo.
Puerto Rico still doesn't compare to Hong Kong though:
EconomicPolicyJournal.com: Is Puerto Rico the Perfect Tax Haven for US Citizens?
So overall this isn't a sweet as Hong Kong, and it is only guaranteed until 2035. Congress already repealed a tax incentive in 1996 that applied to PR that allowed US corporations tax free income if they operated in PR. Thus the best tax breaks are already gone, and now you're left with table scraps.
If this 2035 guarantee is made by the Puerto Rican government, then I personally wouldn't count on it because it's a government devolved from the Federal government and has no authority of its own.
In Hong Kong you can setup a corporation, and as long as you have no HK sourced income, your corporate profits tax is 0%. Then you can pay yourself a dividend which is also tax free.
Your corporation that has no HK sourced income can own a HK corporation that does have HK sourced income for any income you earn in the city such as rental income if you're a property owner. Then you just have to pay the standard profits tax of 16.5% for all HK sourced income.
The Hong Kong constitution also mandates a government policy of balanced budgets and low taxes.
EconomicPolicyJournal.com: Is Puerto Rico the Perfect Tax Haven for US Citizens?
So overall this isn't a sweet as Hong Kong, and it is only guaranteed until 2035. Congress already repealed a tax incentive in 1996 that applied to PR that allowed US corporations tax free income if they operated in PR. Thus the best tax breaks are already gone, and now you're left with table scraps.
If this 2035 guarantee is made by the Puerto Rican government, then I personally wouldn't count on it because it's a government devolved from the Federal government and has no authority of its own.
In Hong Kong you can setup a corporation, and as long as you have no HK sourced income, your corporate profits tax is 0%. Then you can pay yourself a dividend which is also tax free.
Your corporation that has no HK sourced income can own a HK corporation that does have HK sourced income for any income you earn in the city such as rental income if you're a property owner. Then you just have to pay the standard profits tax of 16.5% for all HK sourced income.
The Hong Kong constitution also mandates a government policy of balanced budgets and low taxes.
I hear you on Hong Kong being more stable, but the problem isn't the Hong Kong taxes, it's the dividends being taxed as ordinary income back in the states.