Where to Locate an institutional company for trading

[lbh411]

Hi so ive been lurking for a while and have a general outline of what the forums are about and offer, Im on the smaller end compared to you big players and trying to get an understanding (i came from crypto) of how traditional routes operate.

Im currently based in UK and would like advice from forum experts on where would be the best place to operate a business from.
I intend for using the business to trade stocks crypto and just basically perform any venture operations i learn about under it.

Im aware that CRS, information exchange and many things like witholding tax are going to hold me back and i would like some recommedations on where would be the best palce from forum members.

In my research the only place i seem to find that may fit my needs would be Jersey Georgia and maybe dubai (costs are quite high). But as im reading and understanding the landscape is changing rapidly and I havent got a firm understanding of how i would remit any money the business makes to my personal name without getting destroyed by uk taxes.

the things i have in my favour is that i could become a non dom british citizen soon so im willing to hear all discussion and advice that leads me in a sound direction. but mainly my goal is saving but i hope to keep personal risk low from being attacked by hmrc for tax evasion or the sort

 

[enceladus]

The safest way would be to FIRST become non tax resident of the UK and go live elsewhere. Make sure you break UK tax residency properly and become a tax resident of a country with a territorial system, such as Georgia or Paraguay. Once your personal tax residency is set up properly you don't need to live in these places all year round, you can stay anywhere as long as not as much as 183 days per year, and you will still retain tax residency in the new country.

Georgia and Paraguay are only two examples of countries where acquiring residency permit (and in the sequence, tax residency) is very easy. There are others.

Once this is done you don't need to look up for dodgy schemes, simply have your business under your name in any reputable offshore jurisdiction and enjoy the tax free lifestyle.

 

[lbh411]

The safest way would be to FIRST become non tax resident of the UK and go live elsewhere. Make sure you break UK tax residency properly and become a tax resident of a country with a territorial system, such as Georgia or Paraguay. Once your personal tax residency is set up properly you don't need to live in these places all year round, you can stay anywhere as long as not as much as 183 days per year, and you will still retain tax residency in the new country.

Georgia and Paraguay are only two examples of countries where acquiring residency permit (and in the sequence, tax residency) is very easy. There are others.

Once this is done you don't need to look up for dodgy schemes, simply have your business under your name in any reputable offshore jurisdiction and enjoy the tax free lifestyle.

thankyou for the advice its very clear and it seems when im ready to return to the UK i can remit the money in if i intend to purchase property etc

I intend to do set up some sort of llc because i will make an account with interactive brokers who report under OECD i believe balances and accounts of all customers to respective jurisdictions, and because this is USA derived income with witholding taxes i believe up to 30% (i believe currently i only pay 15% because of UK DTA) would there be some sort of work around for that? If not what location would be best to basically pay the least?

Also if the personal route is still the absolute best could you outline what that would look like for me? appreciate the answers so far!

 

[enceladus]

I intend to do set up some sort of llc because i will make an account with interactive brokers who report under OECD i believe balances and accounts of all customers to respective jurisdictions, and because this is USA derived income with witholding taxes i believe up to 30% (i believe currently i only pay 15% because of UK DTA) would there be some sort of work around for that? If not what location would be best to basically pay the least?

You said that this is US derived income but in the first post you said you planned to simply trade stocks and crypto. If you're simply trading in a US broker that's not considered US derived income. If you set up the IB account after you gained residency in the new country with a territorial system, you don't have to pay personal taxes on that income. As far as I understand it, if this is for trading stocks only, you don't even need to setup a business, but I'd be interested in hearing dissent opinions.

What's the nature of your business, if not only trading?

As for another broker, check out IOCBC.COM from OCBC Bank in Singapore. You must go there to open an account though.

 

[lbh411]

You said that this is US derived income but in the first post you said you planned to simply trade stocks and crypto. If you're simply trading in a US broker that's not considered US derived income. If you set up the IB account after you gained residency in the new country with a territorial system, you don't have to pay personal taxes on that income. As far as I understand it, if this is for trading stocks only, you don't even need to setup a business, but I'd be interested in hearing dissent opinions.

What's the nature of your business, if not only trading?

As for another broker, check out IOCBC.COM from OCBC Bank in Singapore. You must go there to open an account though.

ah okay i assumed it would count as usd derived income because of the up to 30% witholding tax, it seems like georgia is the best place and im thinking the cheapest.

As for the nature it would mainly be trading but intend to get involved in equity deals and asset management in some form, im assuming if i was interested in purchasing property this would be the best route rather than personal also?

Interested to hear other opinions but seems like my situation is quiet simple i was expecting it to be more complicated

 

[LucyOffshore]

The safest way would be to FIRST become non tax resident of the UK and go live elsewhere. Make sure you break UK tax residency properly and become a tax resident of a country with a territorial system, such as Georgia or Paraguay. Once your personal tax residency is set up properly you don't need to live in these places all year round, you can stay anywhere as long as not as much as 183 days per year, and you will still retain tax residency in the new country.

Georgia and Paraguay are only two examples of countries where acquiring residency permit (and in the sequence, tax residency) is very easy. There are others.

Once this is done you don't need to look up for dodgy schemes, simply have your business under your name in any reputable offshore jurisdiction and enjoy the tax free lifestyle.

You have anything to backup this info as valid?

 

[enceladus]

There are plenty of articles explaining tax residency concepts and how to change your tax residency country. Some people think that simply by leaving and living abroad they won't be due taxes back home but this is far from reality if 'home' is in Europe, for example.

Most European nations require that you prove that you have established permanent residence elsewhere before they will stop taxing you. These are typically high tax environments that don't want to lose a milking cow.

And regardless of where you actually live, if you can easily acquire a permanent visa in another country, and use that as your main ID for banking abroad, there you have a free extra layer of privacy.