Hi guys,
I have a couple offshore companies of which I am the director and shareholder. I haven't worried about my name being on documents too much as I am a resident of Panama and don't pay tax offshore anyway. My partner now is wanting to relocate back to Germany and doing so I will get caught in the CFC (Controlled Foreign Corporation) laws causing those companies to pay tax in Germany. I'm trying to avoid this and one suggestion was with the use of nominee directors and shareholders. My question is, if I change my existing companies directors and shareholders to nominees, will it be obvious I am still the ultimate beneficiary as my name remains on the original incorporation documentation (and I would have POA)? Would I have to incorporate with nominees from the beginning to achieve my goal?
As a side question, is the use of nominee directors and shareholders a legal way to avoid CFC tax or just a way to hide? Thanks.
I have a couple offshore companies of which I am the director and shareholder. I haven't worried about my name being on documents too much as I am a resident of Panama and don't pay tax offshore anyway. My partner now is wanting to relocate back to Germany and doing so I will get caught in the CFC (Controlled Foreign Corporation) laws causing those companies to pay tax in Germany. I'm trying to avoid this and one suggestion was with the use of nominee directors and shareholders. My question is, if I change my existing companies directors and shareholders to nominees, will it be obvious I am still the ultimate beneficiary as my name remains on the original incorporation documentation (and I would have POA)? Would I have to incorporate with nominees from the beginning to achieve my goal?
As a side question, is the use of nominee directors and shareholders a legal way to avoid CFC tax or just a way to hide? Thanks.