Setup for Swedish entrepreneur - starting online business abroad

[corp1212]

Hi - appreciate this community. Starting a new online business and would like to find the most optimal corp / tax setup. The tax in Sweden is around 50% (corporate + dividends). I'm looking to move abroad starting my business and would like to find the best solution which should include a good quality of life + reasonable taxes.


I've been looking into Spain (Beckham Law) with a company in Malta + Holding company somewhere else (Cyprus or Gibraltar)... but not sure if thats a solution that would work. Could also be interested in Switzerland or other places.


Very happy to get feedback on this matter and especially if there is anything specific to think about when creating this setup. Many thanks in advance.

 

[Sols]

Practically every option in the whole world is available to you, until you start narrowing down what it is you want to achieve.

If you only care about tax, go to UAE, the Caribbean, or South America.

If you want to stay within Europe and are content paying slightly less tax, go to Spain. If you want to stay in Europe with a lower tax burden than Spain, go to Cyprus or Malta.

If you spend time to optimise your taxes in Sweden, the net tax rate is not 50%. A good accountant can help you make the most of deductions and what to pay as salary vs dividends. It's still more than in a lot of places, of course.

 

[pfser]

Hi - appreciate this community. Starting a new online business and would like to find the most optimal corp / tax setup. The tax in Sweden is around 50% (corporate + dividends). I'm looking to move abroad starting my business and would like to find the best solution which should include a good quality of life + reasonable taxes.


I've been looking into Spain (Beckham Law) with a company in Malta + Holding company somewhere else (Cyprus or Gibraltar)... but not sure if thats a solution that would work. Could also be interested in Switzerland or other places.


Very happy to get feedback on this matter and especially if there is anything specific to think about when creating this setup. Many thanks in advance.

UAE, Monaco, Switzerland, and Cyprus would work well for you in terms of taxes and quality of life.

 

[Mr Gus]

In order to qualify for the beckham law you need to be employed by a Spanish company.

If you want to stay in Europe 0% tax will be really hard to achieve. But there are plenty of other low tax options like Malta, Cyprus, Bulgaria, Romania and Andorra for example. Depending on the type of income and business Italy is also an option.

Portugal with the NHR but that would involve more tax planning if you want to do it right, most people don't because Portugal is not actively going after expats, at least for now.

 

[corp1212]

UAE, Monaco, Switzerland, and Cyprus would work well for you in terms of taxes and quality of life.

Thank you for this. What kind of tax rate can you expect on dividends from a Maltese company if you live in Monaco or Switzerland? Many thanks.

 

[rdec237]

In Switzerland you'd pay income tax on dividends varies depending on where you live and how much you earn: could be 5 - 15%. But to be honest your bigger issue would be controlling a company from Switzerland which isn't domiciled there. Asking for headaches from the tax office and can get expensive to maintain for little benefit.

To be honest your better bet would be to just have a Swiss company and pay Swiss corp tax. There are loads of tricks to reduce taxable profit, and then it could be in a location where the tax is only around 11%, plus you have easy access to Swiss banking etc. You could start the company while based in Sweden but need a local director til you move here. I'm based in Switzerland and have lots of insights to running companies here as well as contacts on the ground to get going, feel free to DM for your specific case, or ask more here.