General info on Tax optimization

[Hello]

Hi everyone,

I'm starting to taking growing my capital more seriously and thinking meanwhile about to move to some EU country (looking at Spain) using Digital Nomad visa (earning from abroad), or the US.

I know that taxes are quite high in the EU, but also you can optimize it writing off your spendings as business spending, but that's all I know. It seems studying further will require diving into specific country tax intricacies. Mainly I want to get max 10-20% off maybe.

Could you give a general direction?

Or specifically, I'm interested in:

- How sophisticated is it to write off spending as business spendings, how many areas it can encompass? I suspect in Germany/USA it would be harder as they might watch you closely, or, say, in Spain they would close eyes, but maybe i'm wrong.

- Is there something else i can consider? I read it seems you can get an offshore company (on your name?), earn money on it and then just leave your country for half a year to loose tax residency and during that time transfer the money on your bank account without paying taxes. Is it too good to be true?

I appreciate any thought, thanks.

 

[JohnLocke]

or, say, in Spain they would close eyes, but maybe i'm wrong.

You need to search the forum for this, if you can't find something with the SEARCH bar top right you may do a google search like:

site:offshorecorptalk.com spain tax
site:offshorecorptalk.com relocate spain

You will see it is not the place you want to relocate to!

In addition as discussed also a lot of times, Bulgaria, Portugal and Switzerland are some of the good destinations.

But there may be more opinions from other users.

 

[Roo]

in Spain they would close eyes, but maybe i'm wrong.

In Spain they want more documents to write off a business lunch than than you need to incorporate a company in some countries

I really suggest avoiding opening a company in Spain, it's a bureaucracy hell, accountants are often incompetent when it comes to international taxation or international anything especially outside of the EU and they will no make an effort to get information for you.

Flying under the radar with an offshore company as a non-resident may work for a while, I guess it depends on your situation and how you may or may not attract tax authorities attention.
Any transfer to a bank account in Spain over 3000euros will be automatically reported to the hacienda so take care. That threshold might have already decreased since they need money to pay for illegal migrants and other pointless stuff

 

[yourbestchoice]

In addition as discussed also a lot of times, Bulgaria, Portugal and Switzerland are some of the good destinations.

But there may be more opinions from other users.

Portugal is still a good option after they abolished the NHR? Or are you referring yourself to lax enforcement?

 

[justlavra]

If you're a digital nomad, Spain can be a great place to live and work.

By obtaining a digital nomad visa as an employee and applying for the Beckham regime, you can enjoy a declared salary with a tax rate of 24%. Moreover, any income earned outside of Spain during the next five years is tax-free.

This is especially beneficial when you have a foreign company, as you can receive dividends without any taxation and only pay taxes on the declared salary.

For instance, if your declared salary is 3000 EUR per month, you will have to pay approximately 8000 EUR per year for taxes, and that's it.

You won't have to pay any taxes in Spain on the dividends, whether they are 50k or 250k.

 

[koohl]

Wat's required to obtaining the digital nomad visa in Spain?

 

[Hello]

Wat's required to obtaining the digital nomad visa in Spain?

Digital Nomad Visa

www.exteriores.gob.es

 

[baio12]

Bulgaria, Portugal and Switzerland

I know some advantages about Bulgaria and Switzerland but what are main reasons people choose Portugal today?