Archive for the ‘Tax Reduction’ Category

Is it possible to save on tax by going offshore?

One common question is: is it really possible for people who invest offshore to save on tax? Otherwise, why else do the politicians, celebrities, and pop stars have offshore investing structures in place so as to protect their assets? The facts are that these people are basically protecting their assets from litigations. They are looking after their finances and ensuring that they don’t overpay their tax obligation. Actually, you are under no obligation whatsoever to overpay your tax bill. Now before getting into how you can save on tax by going offshore, there are a few important factors to bear in mind.

First of all, going offshore is a hundred percent legal, mainly due to the fact that people nowadays live in a global village society. However, what really mystifies a lot of people is their conscientiousness when it comes to reporting their offshore activities. Whilst it is 100% legal and legitimate to go offshore, it is illegal to go offshore for criminal activities, or going offshore and failing to report what you are doing, especially where there exists a need for legal reporting. When in doubt, assume that a legal reporting requirement mandates you to take action and report your offshore activities for tax purposes. Always seek expert advice when it comes to offshore investments, because what you do with your security, finances, their security and the freedom of selection is quite critical for your offshore investments success.

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