Is it legal to utilise an offshore structure for asset protection n tax minimisation?

[goldentalk]

Every person and every company should pay their fair share of taxes but everyone has also a legal right to minimize their taxes through legal tax avoidance and protect their hard earned assets. Citizens of many countries now find themselves with increasingly encroaching governments, uncontrolled government spending, rapid currency devaluation, rising taxes and unbridled litigation which are all spiraling out of control. So is it legal to have an offshore company looking after your assets?

 

[SysOp]

As long as you incorporate your offshore company duly it will be legal, also you are able in some setups to tell your government/tax authorities that you own a Offshore Company and still have the protection and legaly safe taxes.

 

[pavlik]

Having an offshore company is in most jurisdictions not illegal. The problem is rather that there is no point owning an offshore company if you own it yourself, declare this to the authorities and are living in a high-tax jurisdiction.


You and the company will be taxed as the company were incorporated in the high-tax jurisdiction and you will certainly have other problem as well with the authorities.


So the answer is yes - you can own an offshore company but it's pretty useless. The right way is not to own it yourself but to set up the ownership in a proper way - then it may become useful if you know what you are doing.

 

[jb100]

There is nothing harm in it.You can float an offshore company to manage your tax liabilities and minimize them as far as practicable.But it should be with in the legal framework of the country you are residing.I think the companies has the right to retain their hard earned financial assets and at the same time Government should explore more ways to collect tax with in avenues of laws of the land.

 

[andrew25]

I think many companies are already registering their main companies in offshore destinations where they are liable to less fee structure. In the world of globalization and free trade many countries allow free trade irrespective of the fact where the company has been registered.