Offshoring definition vs Outsourcing your company activity.

[Spinat]

When people speak offshore business and form company offshore what is the definition of this? Do you have the real answer to this questions or statement? I have been looking into the formation of companies in tax havens for years. People here may have seen lot's of threads starting this topic from me. What I found is that in 90% of all business cases it's of high benefit to define your business offshore or in other words outsource the entire organisation to an tax haven where no tax exists.


Some may say it is not legal and you won't get anything else than troubles with the local tax office. I call BS, people don't know what they speak about! If you setup a legit company in an offshore jurisdiction say BVI, Samoa, Panama, Curacao or similar countries / islands and jurisdictions you don't have anything to worry about. It's legit as long as the management and control is in this particular jurisdiction.


So the definition of offshoring in regards to business matters means straight to the point, You incorporate a company in an tax haven for the purpose to safe tax, anonymity, asset protection or whatever reasons you may have to establish your company there. It is a legit method to safe expenses and tax!

 

[JohnLocke]

Do you know what other reasons people may have to go offshore! There may be the fact that it is way cheaper and faster sometimes to incorporate a offshore company than a local company. Also the fact that most often you don't need to do any kind of accounting and tax filing makes it much easier to form a company in an tax haven!