Offshore company from an EU country

[bogdy23]

Hello guys,

I need a little help. I need an expert opinion. If I am a resident from Romania, and my business is forex trading. Will a Cyprus company help me with taxes and Birocracy? I want to live in Romania but pay taxes in another country like Cyprus. The fiscal paradise doesn`t matter as long as I have to deal with people from other countries. I don`t want to deal at all with Romanian authorities and still be able to trade from here in my country.
Do you think that is possible? Or because I live here even though I have my LLC formed in fiscal paradise jurisdiction I still have to deal with bogus charges and locked accounts from my shitty country?
Thank you

 

[John Andrews]

I don`t want to deal at all with Romanian authorities and still be able to trade from here in my country.

Not really due to permanent establishment

 

[bogdy23]

Not really due to permanent establishment

How do some people manage I`m talking from movies. But to some extent, it does happen in Real Life. Manage to hide millions or billions in offshore countries they don`t get asked anything and manage to make some moves like hostile takeovers and so on? Is it due to their connections in Parlament congress which makes them acquainted with small dictators from these offshore haven`s that keep their money?

 

[John Andrews]

That was possible up until 30 years ago. I mean if you're a G and have connections in Romania you could incorporate on the Moon and still not pay any tax in Romania, but if you did you wouldn't be asking this here.

If you want pay 0% tax and stay legal you need to move to a tax haven. And if you don't want to deal with Romanian authorities you need to move out of Romania, plain and simple.

I suggest you get a good accountant as it'll help a lot when it comes to dealing with the local taxman

 

[bogdy23]

I`ve heard this from someone who creates offshore companies. I don`t fully trust it because well he is selling me something.
He told me that if I hire an international broker like Interactive or Alpari a broker out of the country I won`t have to pay taxes in my country even though I reside in it. Because the servers are out of the country and the trade per se takes place on another sovereign state.
Was he lying to get me to buy one of his companies? Or with this information, things change
Thank you

 

[NicolasMaduro]

Yes he is probaly trying to sell you something, that you can´t use. In Romania you have access to banks, payment processors etc,
and you only have 16% corporate tax and 10% on distributed dividends, so as other people have said, the things you see in movies
don´t work anymore.

 

[user9823671]

How do some people manage I`m talking from movies. But to some extent, it does happen in Real Life. Manage to hide millions or billions in offshore countries they don`t get asked anything and manage to make some moves like hostile takeovers and so on? Is it due to their connections in Parlament congress which makes them acquainted with small dictators from these offshore haven`s that keep their money?

If you have millions and billions you have options. If you are going to save 10 million in taxes a year, you don't mind paying an accountant a million to do it for you, and there will be no shortage of accounts willing to do it for a million.

If you are hoping to save $10k a year, then those accounts will laugh you out the office


The other route, is highly illegal and fraudulent and not without it's own issues / risks. But setting up a company with fake documents is not allowed to be discussed on the public forum, you would need to join the private mentor board to find that info. Should be sticky somewhere. edit, here is the link:
Mentor Group Access / Account Upgrade - https://www.offshorecorptalk.com/account/upgrades

 

[user9823671]

Yes he is probaly trying to sell you something, that you can´t use. In Romania you have access to banks, payment processors etc,
and you only have 16% corporate tax and 10% on distributed dividends, so as other people have said, the things you see in movies
don´t work anymore.

In Romania, IIRC they also have micro companies, so as long as you don't generate a million a year, you pay 3% tax ON REVENUE (not profit) but as OP is generating revenue = profit (I imagine) it may be an option to stay 100% legal and pay 3% tax and get all the benefits of being a tax payer legal (as you mentioned: banking / processors) and can sleep safely at night

 

[user9823671]

I`ve heard this from someone who creates offshore companies. I don`t fully trust it because well he is selling me something.
He told me that if I hire an international broker like Interactive or Alpari a broker out of the country I won`t have to pay taxes in my country even though I reside in it. Because the servers are out of the country and the trade per se takes place on another sovereign state.
Was he lying to get me to buy one of his companies? Or with this information, things change
Thank you

The business all depends where it is run from, that is, where YOU are. Servers and all that is irrelevant. Unless you set up substances somewhere and can show the business is RUN from there (not just you have an office with a secretary, but is run from there) it is where you are. From what I understand. Many many more knowledgable people than I on this forum, so maybe I am wrong, or slightly off or there are caveats, loopholes, but for the main, as a single person company it is where you are resident that the business will be deemed resident.

 

[bogdy23]

If you have millions and billions you have options. If you are going to save 10 million in taxes a year, you don't mind paying an accountant a million to do it for you, and there will be no shortage of accounts willing to do it for a million.

If you are hoping to save $10k a year, then those accounts will laugh you out the office


The other route, is highly illegal and fraudulent and not without it's own issues / risks. But setting up a company with fake documents is not allowed to be discussed on the public forum, you would need to join the private mentor board to find that info. Should be sticky somewhere. edit, here is the link:
Mentor Group Access / Account Upgrade - https://www.offshorecorptalk.com/account/upgrades

If I join the private mentor Group will I be there able to find a LEGAL solution of how to stay anonymous in my country and run it from here and pay taxes elsewhere and go through all of the Hustle? The thing is I have an important relative in the legal system. He doesn`t let me grow. He got powerful by exploiting his family and me mostly. I don`t want to leave my hometown due to health reasons and because here I have people that are loyal and trustworthy. He will send me the authorities as soon as he does someone a favor and will rip me to pieces medically speaking he doesn't care he just wants me and the whole family to be nobody because he is an EVIL person and wants to keep up appearances that he is someone who is not all about money and power. He doesn`t want those kinds of people around him because they will dictate terms not him.

 

[user9823671]

If I join the private mentor Group will I be there able to find a LEGAL solution of how to stay anonymous in my country and run it from here and pay taxes elsewhere and go through all of the Hustle

Your business will be resident where you live and taxable there.

The only option is to have SUBSTANCE in the offshore country. Office / workers / mangagement. The company has to be (seen to be) run from there without input from you. A virtual office email receipt does not work. You need office rental / utilities contracts. Your tax office know what you are trying to do, they have seen it all before, if you try and cut corners, cheat them, you will be found out (if audited and probably without an indepth audit).

If you want to keep legal and pay low taxes, Romania is not a bad place to be. But may depend on your business, profit / revenue. Why does the micro company not work for you? You are not going to find a cheaper legal alternative with less taxes than that.

 

[Mark Ross]

I live in Romania too.
By a fiscal standpoint, our country is quite advantageous for small enterprises (the microintreprindere is hard to beat).
If you want a bit of privacy coupled with simplicity - especially if you live in the south or Romania - a Bulgarian EOOD (SRL with single shareholder) in Ruse may be a solution but beware, Bulgarian NAP constantly communicates with Romanian ANAF.
If you want more privacy, more complex (and costly solutions) will need to be structured.

 

[bogdy23]

Your business will be resident where you live and taxable there.

The only option is to have SUBSTANCE in the offshore country. Office / workers / mangagement. The company has to be (seen to be) run from there without input from you. A virtual office email receipt does not work. You need office rental / utilities contracts. Your tax office know what you are trying to do, they have seen it all before, if you try and cut corners, cheat them, you will be found out (if audited and probably without an indepth audit).

If you want to keep legal and pay low taxes, Romania is not a bad place to be. But may depend on your business, profit / revenue. Why does the micro company not work for you? You are not going to find a cheaper legal alternative with less taxes than that.

I`m not looking for cheap taxes necessary. I`m looking not to have any contact with my relatives who are fucking mobsters and ask me for a percentage of everything I own and will put fiscal and police controls on my a*s just to toy with me get me off my game. I can`t be integrated by the police there is a very high chance I will die. Doctor`s won`t really move many fingers because they are indented I have friends here people that can keep me of the streets and in somewhat shape. I want to get rid of that how do i do that? Will a company incorporated for example in the UK work if you are a wealthy citizen how much do you have to pay? Or maybe the Netherlands.

 

[user9823671]

I`m not looking for cheap taxes necessary. I`m looking not to have any contact with my relatives who are fucking mobsters and ask me for a percentage of everything I own and will put fiscal and police controls on my a*s just to toy with me get me off my game. I can`t be integrated by the police there is a very high chance I will die. Doctor`s won`t really move many fingers because they are indented I have friends here people that can keep me of the streets and in somewhat shape. I want to get rid of that how do i do that? Will a company incorporated for example in the UK work if you are a wealthy citizen how much do you have to pay? Or maybe the Netherlands.

Ok I misunderstood your initial post was misleading as you mention taxes. What you are after is a PRIVACY setup, so no public lookup can find you. Tax authorities / government can all know you are the owner, you are not hiding from them, just the ability of family finding out.

UK wouldn't work as anyone can look up and see the company you own.

You would need to incorporate in a country with no public register and inform the local tax authorities and deal with that increased hassle or use a nominee structure, so the public register shows the nominee.

 

[John Andrews]

Set up a US LLC (anonymous) and open a branch office in your country.

 

[bogdy23]

Ok I misunderstood your initial post was misleading as you mention taxes. What you are after is a PRIVACY setup, so no public lookup can find you. Tax authorities / government can all know you are the owner, you are not hiding from them, just the ability of family finding out.

UK wouldn't work as anyone can look up and see the company you own.

You would need to incorporate in a country with no public register and inform the local tax authorities and deal with that increased hassle or use a nominee structure, so the public register shows the nominee.

Yes because I don`t want people finding out. I know about that but which country can it be GOOD? I need to be able to get their fast. If I incorporate at Seychelles they are gonna fast freeze the assets question me how I make the money(the trading techniques are secret ) I`m gonna have to find some way to unblock the money pay an attorney and so on for any kind of bulls**t. The thing with this stupid country it is they pull out all kind of bogus charges similar like a black person walking down the street at night minding his own business. Some stupid a*****e is gonna say what are you doing here convict. You know what I mean.

mange38
I heard from the consultant that companies registered in Delaware have a lot of problems if they go over 1 million people doing Amazon business have had a lot of problems.

So I go to such a country and if and put in a nominal director what happens if La Familiga decides to send someone over there who owes them a favor to investigate s**t but still block accounts and everything. What step can I take to prevent such a thing? Moving assets fast between countries will make you look guilty.

 

[user9823671]

What do you need?
Business bank?
Access to online payment services? (paypal / stripe)

Seychelles the problem becomes banking with access to online services, but transfer wise might work
US privacy states may work but banking is a problem, maybe an EMI?

Probably best to call a specialist and speak to them. turnerlittle are active on the forum and get recommended. I would imagine any advertiser of services on the forum are worth a call, as I doubt admin accepts advertising from 2bit fly by night dodgy operations

 

[bogdy23]

What do you need?
Business bank?
Access to online payment services? (paypal / stripe)

Seychelles the problem becomes banking with access to online services, but transfer wise might work
US privacy states may work but banking is a problem, maybe an EMI?

Probably best to call a specialist and speak to them. turnerlittle are active on the forum and get recommended. I would imagine any advertiser of services on the forum are worth a call, as I doubt admin accepts advertising from 2bit fly by night dodgy operations

I need an offshore company and bank account. The main goal is anonymity and protection from my countries authorities if some to bit crook from here decides to launch an investigation like I said bogus just to get information on how I make money I need to stop him. It`s the information, not the manner in which I do trading what exactly will go up or down if they respect certain conditions.

As for your expert I have contacted one, they said Cyprus no problem Delaware is OK but over 1 million $ per year they get problems to freeze bank accounts and they call you over there for a sit-down. I have a low key life going over to the US is gonna take a lot of money which if the accounts are frozen I can`t get.

And the professional company told me Cyprus and they also, said yes you pay 10% there in Cyprus if you had to pay here 16% and there 10% or here in my country anything what, would be the point of setting up an offshore company. I asked her for a second opinion and look I got a totally different opinion.

 

[JimBeam]

Cyprus will probably cost you couple times more than same thing in Romania. Getting a bank account may take months (and you might get declined). You can expect annual company costs + accounting/auditing of around 5k. If you're required to have a substance at Cyprus you'll need to rent an office and maybe even employ someone there (that will increase the costs even more). Add a company tax of 13.75% on your profits (in Romania it's 16% so it's a very little difference).

Now once you make some profit and pay the tax in Cyprus, you'll have some money left in your account. What do you then? How do you get it? Pay yourself dividends and you'll have to declare and pay dividend tax on that amount in Romania. At that point Romania knows you own some shares in a foreign company and they can cause you problems.

So, the 2.25% difference (or 3.5% difference if you pay your taxes in advance on Cyprus) is not significant and not worth the hustle or risking of having problems with tax authorities. Plus I can bet that in the end will cost you more because everything will be more expensive than in Romania.

So, my advice is to simply open a company in Romania, you'll probably get a bank account within a day or so, spend some time on finding really good accountant. You simply focus on your thing and let the accountant do everything else for you. In the end you'll pay the same (or even less), will have no issues in your country - and you can enjoy 5% dividends tax (that's really low, EU average is 23%), and you'll have the money you paid taxes on in your account and you can enjoy your life in Romania. Just find good people that can help you and outsource these things to them and focus only at your business.

 

[user9823671]

I need an offshore company and bank account. The main goal is anonymity and protection from my countries authorities if some to bit crook from here decides to launch an investigation like I said bogus just to get information on how I make money I need to stop him. It`s the information, not the manner in which I do trading what exactly will go up or down if they respect certain conditions.

You are not going to hide from your countries authorities. Not without big money or going the illegal route. The bank will report to them. And any requests from them will most likely be met favourably

As for your expert I have contacted one, they said Cyprus no problem Delaware is OK but over 1 million $ per year they get problems to freeze bank accounts and they call you over there for a sit-down. I have a low key life going over to the US is gonna take a lot of money which if the accounts are frozen I can`t get.

Do you have a million a year revenue? If so, you have more options, go speak to professionals and pay a good price for good advice

And the professional company told me Cyprus and they also, said yes you pay 10% there in Cyprus if you had to pay here 16% and there 10% or here in my country anything what, would be the point of setting up an offshore company. I asked her for a second opinion and look I got a totally different opinion.

Your company will be tax resident based on where you are resident. There is no way around this. Go read about CFC laws and you will understand. Doesn't matter where you incorporate the company, it will be tax resident where you are, Romania.

Either you setup substance in the offshore jurisdiction, this will cost you, but if you are making a million a year, paying 50k a year setup, is better than paying 300k in taxes (figures pulled out my arse but you get the idea). Or you go the illegal route. Those are your options.

Offshore will, in most cases just protect your anonymity from the PUBLIC, not the authorities. IF you are just trying to hide from the public lookups, this may be good for you. But it will cost and cause headaches.