Professional Services Companies

[corkers]

So my knowledge is limited but after studying a tax cafe book I'm learning that an offshore company can have benefits for a PSC (in my case a 'consultant')


If I were to set up either of the following: Panama IBC, Seychelles IBC, Cyprus IBC or even a RAK FZE -


Then I could enter into a contract with the offshore company to provide my services to clients outside my country (UK.)


Do these clients businesses have to be outside the UK if the work takes place outside the UK ?


I could then accumulate personal income free from tax in said jurisdiction?


Then if I reinvested that money through the IBC whether purchasing shares in another offshore business, or investing in the offshore jurisdiction - would profits on this also be generated free from taxation?


I assume to do this I'd have to keep all the money outside of the UK (with offshore bank accounts i.e personal & business) -


BUT


How would I, in the above mentioned scenario, manage to keep the IBC / FZE classified as non resident company?


Would this be a very expensive process?


Can this process avoid the anti-avoidance rules?


Thanks in advance for your comments

 

[clemens]

I could then accumulate personal income free from tax in said jurisdiction?

This I believe is not possible, Tax on overseas income : Directgov - Money, tax and benefits

 

[corkers]

Thanks Clemens,


If I managed to structure the company as 'non resident' and didn't repatriate any of the money to the UK then surely this would be possible?


Does anyone have any insight into my other questions?

 

[bizman]

If I managed to structure the company as 'non resident' and didn't repatriate any of the money to the UK then surely this would be possible?

Yes this is a option, you can find several threads here on the forum describing the different ways to withdraw money without to take them into you home country. There are anonymous Debit Cards, Wire Trnasfers to intermedian and other options.

Then if I reinvested that money through the IBC whether purchasing shares in another offshore business, or investing in the offshore jurisdiction - would profits on this also be generated free from taxation?

As long as you keep it in the Offshore IBC I don't see any tax issues. So it will be tax free.

I assume to do this I'd have to keep all the money outside of the UK (with offshore bank accounts i.e personal & business) -


BUT


How would I, in the above mentioned scenario, manage to keep the IBC / FZE classified as non resident company?

Never take the money to the UK you will need to pay tax doing so. To register a offshore company as non-resident please ask your agent they will accomplish this for you.

 

[offshorebanker]

If I managed to structure the company as 'non resident' and didn't repatriate any of the money to the UK then surely this would be possible?
Does anyone have any insight into my other questions?

There are no difficulties or complications doing so. The trick is to keep your establishment hidden from the authorities in the UK. You need to care about privacy and if possible find someone not resident in the UK to open the bank account, someone you can trust or someone who will hand over the access codes to the bank account which you change afterwards.