How to Protect You Money Offshore

by Arnold S. Goldstein

Book Overview

All rights reserved. No part of this book may be reproduced or transmitted in any form or by any means, electronic or mechanical including photocopy, recording or any information storage and retrieval... This description may be from another edition of this product.

• Format: Paperback
• Language: English
• ISBN: 1880539411
• ISBN13: 9781880539415
• Release Date: December 1996
• Publisher: Made E-Z Products
• Length: 212 Pages
• Weight: 0.70 lbs.
• Dimensions: 0.5" x 4.1" x 6.7"

Customer Reviews

Why Go Offshore?

Many Americans wonder why anyone would want to take their money offshore. Some might reason that with news of the Dow rising to record levels, inflation being tamed, the unemployment rate standing at its lowest level in six years and the federal deficit being down sharply, that there is no real reason to go offshore. In spite of all the national good news, there are many legitimate reasons for moving money offshore. In a nutshell, all these reasons are based on the fact that offshore rules are different from domestic ones. Since the French Revolution, the wealthy have moved money offshore to safeguard their assets, to make a decent return, and to avoid paying taxes on their gains. There are currently some 218 jurisdictions that offer these and other special incentives to foreign investors, and many are among the best places on Earth to vacation. For example, the Caymans, three lush islands 475 miles from Miami, do not levy taxes on personal or corporate income, capital gains or your overall wealth. On top of that, the islands' financial-privacy laws can protect your assets from creditors and people who might sue you. It is indeed no wonder why the main street of this tropical paradise is lined with branches of banks from New York City, Amsterdam and Geneva. The US government frowns on you relocating your money offshore. If everyone could invest abroad and in secrecy and never pay a dime in taxes the federal government would go broke even faster than it already is doing. It is in no way illegal to take your money offshore, even though the government has done its part to try to persuade you to not do so. Although several reporting requirements have been instituted by the government for those who do go offshore, several excellent strategies have been developed to minimize or eliminate them, and for that matter to also minimize any tax effects that such a move might entail. Furthermore, US citizens are generally required to report income from offshore investments and to pay taxes on this income. Once again, numerous strategies have been developed to eliminate these reporting requirements so that the government will not tax your earnings at a higher rate than if your money had never left home. It is important to understand that this excessive taxation is the government's way to discourage citizens from moving funds offshore because when you move your money offshore, the government loses control. Some strategies include elements such as chartering your own foreign bank, insurance company, corporation, or establishing a foundation or trust. An offshore corporation, bank, or insurance company is as much a legal entity as you are.