Buying a car in Europe with a offshore bank account

[aage]

That "To get rich and stay rich you don't ever buy depreciating assets unless you can write off the depreciation" is the stupidest s**t i've read in this forum.

could not say it better. Art, luxury product and Gold or Diamonds will keep you rich.

 

[Martin Everson]

As a 23 year old, I gratefully have the luxury to buy whatever the f**k i want, and i wont ever regret it.

Your still young and naive so I understand your position. When you are north of 50 lets have this conversation again....lol. Hopefully you still have savings by then.

 

[Martin Everson]

This explains your way of thinking

100% . You can't tell the youth nothing nowadays

 

[0w1ck]

I live on a country where my friends make 600 euros a month, i make 3 times that every day, i think i can spend some money on things that will make my youth better. Honestly the thinking of saving every single penny is disgusting to me, maybe when you're 50, you'll think about the time and youth you spent saving money and you're not able to enjoy it like you used to

 

[Martin Everson]

Honestly the thinking of saving every single penny is disgusting to me, maybe when you're 50, you'll think about the time and youth you spent saving money

I remember spending trust fund money in my youth because my grand parents were prudent enough to have a clue about money . Oh and it was not huge amounts but more than the pocket money I was getting as someone who grew up broke on a third world island.

At some point you will knock up a chick, have a family and regret not forward thinking rather than just living in the moment.

 

[0w1ck]

I remember spending trust fund money in my youth because my grand parents were prudent enough to have a clue about money .

At some point you will knock up a chick, have a family and regret not forward thinking rather than just living in the moment.

Well, in my particular case i never asked my family for a cent, and i live alone since 19 years old, and nothing you say is a valid point since i make money out of programming and marketing.
I have time to make money as long as my mind works well. Its not a 80k car that will cause damage to my life.

 

[Martin Everson]

I have time to make money as long as my mind works well.

Famous last words before your mind goes

Its not a 80k car that will cause damage to my life.

Hey seriously it is your life and your money so spend how you want. It's not my place to tell anyone how to spend their money.

In terms of owning a car you can setup a Gibraltar company for ownership and insure and register it through the company. I don't know which European country you are in but it could be an option although foreign plates will draw attention. You can buy and own the car VAT free also by doing so.

 

[0w1ck]

Famous last words before your mind goes



Hey seriously it is your life and your money so spend how you want. It's not my place to tell anyone how to spend their money.

In terms of owning a car you can setup a Gibraltar company for ownership and insure and register it through the company. I don't know which European country you are in but it could be an option although foreign plates will draw attention. You can buy and own the car VAT free also by doing so.

I'm living in Portugal.
Would a better option be, opening a cyprus company + bank account, a portuguese consulting company, and use the portuguese company to service the fake company, this way i would only pay 23% of VAT and i could buy the car in the company name, since its a tesla, i would be deducting the VAT on my company expenses. So, this way i would barely have to pay taxes.
is this a smart option?

 

[Gediminas]

I'm living in Portugal.
Would a better option be, opening a cyprus company + bank account, a portuguese consulting company, and use the portuguese company to service the fake company, this way i would only pay 23% of VAT and i could buy the car in the company name, since its a tesla, i would be deducting the VAT on my company expenses. So, this way i would barely have to pay taxes.
is this a smart option?

If a Cyprus company buys a car from Portugese company - there is no VAT added to begin with.

 

[0w1ck]

If a Cyprus company buys a car from Portugese company - there is no VAT added to begin with.

No, i mean, using the portuguese company to buy the car, but using the cyprus company to legalize money here. This way i would be sending invoices to the cyprus company, and paying 23% taxes on the "services" provided by the portuguese company.

 

[Gediminas]

No, i mean, using the portuguese company to buy the car, but using the cyprus company to legalize money here. This way i would be sending invoices to the cyprus company, and paying 23% taxes on the "services" provided by the portuguese company.

If your Portugese company sends invoice to company in Cyprus, you could also avoid paying VAT.

 

[Martin Everson]

I'm living in Portugal.
Would a better option be, opening a cyprus company + bank account, a portuguese consulting company, and use the portuguese company to service the fake company, this way i would only pay 23% of VAT and i could buy the car in the company name, since its a tesla, i would be deducting the VAT on my company expenses. So, this way i would barely have to pay taxes.
is this a smart option?

Humm......thats a lot of setup for car ownership. That's probably a 10k a year all in costs setup for an 80k car.

Gibraltar has no VAT. I am only recommending a proven option that works for many tourists who want to own and drive sports cars in EU.

 

[GiGoGo]

Gibraltar has no VAT. I am only recommending a proven option that works for many tourists who want to own and drive sports cars in EU.

What you think it would be the situation of Gibraltar after brexit?

 

[0w1ck]

My money is mostly in crypto right now, what if i literally buy the car selling crypto with a bussiness account in Kraken directly to the car seller bank account in germany, and register the car in my name in portugal?
That would be the easiest possible thing to do, but does it count as tax evasion?

 

[Joe Blasco]

As Martin Everson recomended, setting 2 companies for the sole purpose owning a 80000 e car is not money wise. Just find a relative with sufficient taxable-legal income and talk him into buying the car in his name...

 

[0w1ck]

As Martin Everson recomended, setting 2 companies for the sole purpose owning a 80000 e car is not money wise. Just find a relative with sufficient taxable-legal income and talk him into buying the car in his name...

In portugal most people make 7-10k a year, this amount would be impossible to find someone, and also, i don't do anything related to money with family or friends. I prefer to have nothing to use that option honestly.

 

[Martin Everson]

What you think it would be the situation of Gibraltar after brexit?

Good point. After the brexit transition period and depending on the deal negotiated by December 2020 it could be good for Gibraltar. Otherwise with a hard brexit and transition period Gibraltar will be in trouble.

what if i literally buy the car selling crypto with a bussiness account in Kraken directly to the car seller bank account in germany, and register the car in my name in portugal?

Your importing the car from Germany into Portugal? VAT has already been paid on the car in Germany I assume but don't you need to consider registration costs? Have I got something wrong here?

 

[Martin Everson]

As Martin Everson recomended, setting 2 companies for the sole purpose owning a 80000 e car is not money wise. Just find a relative with sufficient taxable-legal income and talk him into buying the car in his name...

It does seem like a lot of work for a 80k Tesla.

 

[0w1ck]

Good point. After the brexit transition period and depending on the deal negotiated by December 2020 it could be good for Gibraltar. Otherwise with a hard brexit and transition period Gibraltar will be in trouble.



Your importing the car from Germany into Portugal? VAT has already been paid on the car in Germany I assume but don't you need to consider import duty? Have I got something wrong here?

First the car would be used, so the direct VAT is excluded because the first owner paid it.
Since its an electric car, in portugal there is no import dutties, neither Co2 fees, only License plate, that costs 200euro
The problem would be the insurance, but i can open activity as a service provider (something like a freelance programmer) and put 10k/year in portugal free of vat/irs, only social security.. which is fine, would only lose about 2k a year in taxes...

 

[Martin Everson]

Will that 10k a year pretend job be your only declared source of funds in Portugal and your driving a Tesla? Do you not think neighbors or friends who see you driving around in a Tesla will ask questions? You don't think that taxman will see your name on a Tesla and ask how its possible on a cleaners wage?

It sounds good on paper but the minute you have assets on display your a target for people wanting to know how they were acquired.