0% tax for digital nomad achievable?

[baio12]

Payment agent receives money on behalf of the other company and its not declared as income.

If you're receiving, processing, or remitting your own money, it falls out of regulatory scope in some jurisdiction. But if it's someone else's money, it's a regulated financial service which in EU/EEA/UK requires some form of license.

Is payment agent same thing as merchant of record? Such companies pay VAT on your customers behalf and send you the payment amount less a few % fee for their service.

You can agree with another company to be your merchant of record and transfer the remaining amount to your company in different country?

 

[Don]

Is payment agent same thing as merchant of record? Such companies pay VAT on your customers behalf and send you the payment amount less a few % fee for their service.

You can agree with another company to be your merchant of record and transfer the remaining amount to your company in different country?

No its not the same.

The former deals only with the payment processing part of the transaction and not with tax, fulfillment, compliance, and disputes.

 

[baio12]

No its not the same.

The former deals only with the payment processing part of the transaction and not with tax, fulfillment, compliance, and disputes.

Does merchant of record have same license requirement as payment agent? If no you can start your own merchant of record or partner with another one in high tax country and have your actual company be in low tax country. Is there big downside to this or can it be the best solution that payment agent was trying to solve?