You can't move the money from the offshore company back to Canada and the consultation fee is still subject to income tax.
R U Canadian? R U Offshore?
- Thread starter g33ks
- Start date
You can't move the money from the offshore company back to Canada and the consultation fee is still subject to income tax.
*There's a big difference between tax avoidance and tax evasion.
Those looking to get into the former, no you cannot live in Canada (or US/UK/any tax jurisdiction), and 'legally' get access to your money once you're done hiding it and want to get to it (without it being taxed)...
Setting up offshore with your shelf co and beneficiaries/front names is the easiest part of the setup. I'm sure many here have assets protected and or parts of their rev. going there and do not claim it. However - GOOD LUCK getting that money, and or any big portion of money year to year without it touching banks or being taxed - it's impossible, especially for those under Uncle Sam's Arm.
Since starting that thread - I've started my expat process, and though can't say too much more on here until I do all my shit (then will update my thread heavily with the what/where/how I did it once I'm gonzo), but for now I'm starting to have less and less in my name, starting to sell off assets, move biz names to others, yadda yadda - quite the fucking process and I'm nervous but not stopping! Just want it to look natural, and I have a LOT of shit to get rid of in my name
The snowbirds thread is very accurate on what is entailed for both CAN/USA/UK residence so revisit the links in that thread and absorb as much as you can if you plan on doing this.
And don't try to just hide your money and trickle it in slowly through shelf CO's/intermediary names etc, it's rather basic, you'll get caught - and not worth evading/getting royally fucked later in life.
If you don't have the stomach to leave, and really feel that 'you should just make more money' < I won't argue or debate with you but for those that have already done it, and are travelling the world, living wherever they want, added assets/property/bankroll yearly on a large scale, and still being able to visit/stay in CA/US/UK for portions of the year, they have told/shown me enough to make my decision final. You guys should really look at your lives/near future, and evaluate your options.
It's good to see more and more of these threads pop up.
Those looking to get into the former, no you cannot live in Canada (or US/UK/any tax jurisdiction), and 'legally' get access to your money once you're done hiding it and want to get to it (without it being taxed)...
Setting up offshore with your shelf co and beneficiaries/front names is the easiest part of the setup. I'm sure many here have assets protected and or parts of their rev. going there and do not claim it. However - GOOD LUCK getting that money, and or any big portion of money year to year without it touching banks or being taxed - it's impossible, especially for those under Uncle Sam's Arm.
Since starting that thread - I've started my expat process, and though can't say too much more on here until I do all my shit (then will update my thread heavily with the what/where/how I did it once I'm gonzo), but for now I'm starting to have less and less in my name, starting to sell off assets, move biz names to others, yadda yadda - quite the fucking process and I'm nervous but not stopping! Just want it to look natural, and I have a LOT of shit to get rid of in my name
The snowbirds thread is very accurate on what is entailed for both CAN/USA/UK residence so revisit the links in that thread and absorb as much as you can if you plan on doing this.
And don't try to just hide your money and trickle it in slowly through shelf CO's/intermediary names etc, it's rather basic, you'll get caught - and not worth evading/getting royally fucked later in life.
If you don't have the stomach to leave, and really feel that 'you should just make more money' < I won't argue or debate with you but for those that have already done it, and are travelling the world, living wherever they want, added assets/property/bankroll yearly on a large scale, and still being able to visit/stay in CA/US/UK for portions of the year, they have told/shown me enough to make my decision final. You guys should really look at your lives/near future, and evaluate your options.
It's good to see more and more of these threads pop up.
Thank you for your contribution.
About the thread, you said to leave with the intent to never return.
Why is that? Can't you get the residency back? I mean you are a citizen. It cannot be harder than for an immigrant, right?
It sounds so permanent.
HH
The point is that, for as long as you don't want to be paying tax in Canada, you have to make it appear like you are never coming back. Of course you can get your residency back. Simply step foot back in Canada and say "I are here!" and open a bank account or something, and bam, you're a resident again.
I'm familiar with all the above in regards to Australians, so PM if you got questions.
Also check out this link: Offshore Banking from HSBC International
(Especially the 'Global Tax Navigator' part down the bottom - great info)
Also check out this link: Offshore Banking from HSBC International
(Especially the 'Global Tax Navigator' part down the bottom - great info)
Wait i don't get why you have to move out, i spoke with a lawyer/acc he told me you just set up an offshore corp, get a bank account for it located in the country where the corp is set up and get all your aff moneys paid into it. Now all you are is just an employee of this international company living in canada, so you pay yourself the 30k/year from this corp for whatever expenses, everything else you keep in the corporation - since any more money aside from what you legally pay yourself actually enters canada you don't pay taxes on it. So yes you'd pay the 4-5k in taxes on your 30k wages.
When you need to buy a car/house/whatever, you take a loan out from this same corporation thereby not paying any taxes anyway (since you dont pay taxes on loans) and avoiding all the interest if you'd do this with a bank.
Or is all of this super illegal and not correct?
When you need to buy a car/house/whatever, you take a loan out from this same corporation thereby not paying any taxes anyway (since you dont pay taxes on loans) and avoiding all the interest if you'd do this with a bank.
Or is all of this super illegal and not correct?
u need 5 employees and if they work for anyone else and u get caught u could end up paying taxes. i live outside of canada 4 months a year as it is so 2 more months is nothing.
You are the owner of the company so you are still evading tax because Canada tax resident on worldwide income. If you want to legally earn money without paying tax for that "international company" while living in Canada, you must give up control of the company so you can't just take out a loan to buy a car. Ask a lawyer or accountant to structure that for you.
Ahh ok thanks,I'll talk with him more, i probably misunderstood my lawyer - so the company has to be under someone elses name then, that way you are 100% just an employee and pay taxes only on the amount you send to your personal bank account.
You must also stay away from Canada for 2 WHOLE YEARS in order to break the resident status. Also, depending on the situation, you may have to mail the CRA explaining your non-resident status.
I highly recommend the Canadian book "Take your money and run" by Alex Doulis. It's a bit old, but the principles are all there. The book also covers how to get any RRSP money you have out of the country at low taxes.
It also discusses how to keep your money private forever from any government, and some tricks to prevent property seizure.
I highly recommend the Canadian book "Take your money and run" by Alex Doulis. It's a bit old, but the principles are all there. The book also covers how to get any RRSP money you have out of the country at low taxes.
It also discusses how to keep your money private forever from any government, and some tricks to prevent property seizure.
DirSP, you don't always need visas or anything to leave Canada on a one-way ticket. Can just buy a cheap throw-away ticket showing an onward destination from the country that you're trying to get into.
Example: Flew to philippines one way from Canada, bought a $25 throw-away ticket on airasia from clark,philippines to kota kinabalu, malaysia a year into the future. No visa w/ philippines, just did the standard 21 day visa waiver + 2 month visa extensions.
I didn't even bother showing onward when I went to Japan and didn't have any problems, lucky.
Example: Flew to philippines one way from Canada, bought a $25 throw-away ticket on airasia from clark,philippines to kota kinabalu, malaysia a year into the future. No visa w/ philippines, just did the standard 21 day visa waiver + 2 month visa extensions.
I didn't even bother showing onward when I went to Japan and didn't have any problems, lucky.
g33ks, which country are you thinking of about the 5 employee company?
Philippines for example gives a business visa for living in philippines indefinitely, with a 10 employee company. Pretty good deal since you can hire 10 at $100-$150 each, and make them do AM work etc.
Philippines for example gives a business visa for living in philippines indefinitely, with a 10 employee company. Pretty good deal since you can hire 10 at $100-$150 each, and make them do AM work etc.
I am going non resident so i don't need 5 employees in that country. I will be a resident of the turks and caicos.
It has nothing to do with you being able to buy one-way ticket from an airline without a visa or a pr card. I am pretty sure most people posted on this thread already know that you can get an one-way ticket to most countries and get in. But it is just that you need to prove to the tax office that you are leaving Canada permanently to another country. If you are going to that new country permanently, you are not going to buy a round flight ticket and in order for you to be "legally" buying an one-way ticket is that you are resident of that country.
Many of your points are not true. You do not need to be away for 2 whole years to lose your residence status. It is just not a wise idea to return to Canada and it might take a bit of explaining if the CRA checks on you. It is also recommended that you do not file the NR73 form (Determination of Residency Status). Just tick the box that you are leaving Canada on your last tax return and it is sufficient. Filling the NR73 is just asking for trouble.
Yes, the company must be under someone else's name. It might be possible to have a foreign trust (with you being the beneficiary) as the owner of the company but I am not too sure about this since I didn't do much research or asked accountant on this. In the end, you are still the owner but just in a more blurred way.
You can have a really complex structure that the CRA will take years to figure it out. Switzerland trust owning a company in another country (ie. Singapore since they have really strict bank laws now) and then that country owning a BVI bearer share company with bank account in some other country that has no tax agreement with Canada. It is still tax evasion. Unless you are making 10s of millions, it is not really worth the trouble. Just leave. The world is beautiful.
I checked Turks and caicos. It looks like an awesome island to be in and official language is English too. But to become resident, you need to buy a property that is 250K+ at its most developed island and 100k+ at the undeveloped ones. On top of that, you can't get a passport.
DirSP,
I guess my info is a bit out of date. Good tip about not messing with the NR73.
Hmm..
How important is it to be a resident of any other country anyways? The three flag theory usually just suggests living with a tourist visa.
I guess my info is a bit out of date. Good tip about not messing with the NR73.
Hmm..
How important is it to be a resident of any other country anyways? The three flag theory usually just suggests living with a tourist visa.