I'll post this link here as well as it sheds an interesting light on the city and the place does qualify as a tax haven for traders. If one want to live in the tech capital of China, tax free on all their overseas income, including cap gain, Shenzhen is a place to consider. Getting a residence permit is not particularly easy though and if one seek a bratwurst stall every 4 blocks or low cost of living for an expat family, there is no need to apply. But they can still read the text below. http://www.bloomberg.com/view/articles/2016-06-12/china-s-shenzhen-has-figured-out-the-future China‘s Xi Jinping recently declared that he wants China to rank as one of the world’s most innovative countries by 2020 and to top the list by mid-century. Going by past practice, this probably means a lot more money being poured into dodgy start-ups and ill-conceived high-tech schemes. There’s a better model to be found, however, one that’s surprisingly close to home: the southern boomtown of Shenzhen. The city‘s Nanshan district, home to a huge High-Tech Industrial Park, is now China’s richest, with a higher per capita gross domestic product than even capitalist Hong Kong, just across the border. Indeed, Shenzhen‘s rapid success could well be more remarkable than the latter’s: Little more than a fishing village in 1979, when Deng Xiaoping decided to launch China’s reforms in a special-economic zone there, Shenzhen has since grown into a megacity of more than 11 million people with a GDP five times Macau’s. At an average of $727 per square foot, real estate prices are higher than anywhere in the U.S.; the city will soon be home to the world’s fourth-largest skyscraper. It‘s little wonder that in 1992, when support for his reform agenda was flagging, Deng returned to the city to remind Chinese of the virtues of entrepreneurship and private enterprise. Today some 8,000 tech companies have set up shop in the city, including Internet giant Tencent and telecommunications company Huawei Technologies, as well as the world’s largest drone-maker; the $3 trillion Shenzhen exchange is devoted to high-growth tech start-ups. Beijing Genomics International, a public-private partnership, provides rapid DNA data downloadable anywhere in the world via Amazon cloud services. Lighting company LEDSFilm is manufacturing the smallest and brightest studio and entertainment lights in the world. Not every city in China can become Silicon Valley, of course. And Shenzhen had a particularly good base upon which to build, given that the surrounding Pearl River Delta is home to the thousands of nimble manufacturers that assemble most of the world‘s consumer appliances. But the city itself has gotten some key fundamentals right. First and foremost, it’s a true melting pot. To a far greater extent than other Chinese megacities, Shenzhen has eased the path for migrant workers to become full citizens: Anyone who buys an apartment is entitled to full residency rights. Ambitious risk-takers from around the country flock to the city to make their fortunes, unencumbered by history. By contrast, Beijing remains the preserve of party elites, while Shanghai is notorious for shunning outsiders. In both cities, bureaucratic infighting and middle-class resistance continue to hamper efforts to liberalize the “hukou” system of household registration. That condemns low-skilled migrants to black-market status in areas like education and restricts the flow of labor to where it can most effectively help businesses grow. If China’s cities want to develop ambitious, hard-working and entrepreneurial work forces, they need to do better at welcoming newcomers who embody those traits. Second, Shenzhen has created the most business-friendly environment in China. It’s relatively easy to set up a company and to transfer funds overseas. The World Bank generously estimates it takes more than 31 days and 11 different procedures to start a business in China. Officials in Shenzhen’s Qianhai Enterprise Zone boast they can register a foreign-invested firm in eight days. Thriving venture capital and private equity firms now fill the city, which helps foster risk-taking. Given its lack of natural resources, Shenzhen has focused instead on freeing people to innovate: Together the government and local companies invested more than $3 billion in research and development last year, nearly 6 percent of GDP; the nationwide average is only 2.3 percent. All across the city, posters declare that “innovation (is) encouraged and failure tolerated.” City officials actively promote more open financial markets, so that entrepreneurs have an easier time tapping funding. Most importantly, rather than heeding government diktats about what and how much companies should produce, the city’s thriving private-sector competes fiercely to develop products that can survive in a cutthroat market. Elsewhere in China, the government still coddles state-owned incumbents despite their excessive indebtedness, poor record at creating new jobs and overall inefficiency. Finally, in order to thrive, new businesses need a solid regulatory structure that consistently enforces clear rules. Many local lawyers are licensed in both Shenzhen and Hong Kong, making cross-border agreements easier. A local free-trade zone now offers Hong Kong legal adjudication for companies fearful of more capricious mainland courts and regulators. Deng’s reforms in 1979 were rooted in a single thought: They empowered individuals and promoted entrepreneurialism, rather than reinforcing the state-dominated status quo. If China truly wants to build a 21st-century economy -- a must, given its shrinking population and rising labor costs -- it‘s going to have to do the same. Shenzhen is proof the formula works. By Christopher Balding
Seriously, is there any country where you can pay no taxes other than Dubai, Monaco, Bahamas and the Cayman Islands? I mean a normal livable country? I'm talking about forex trading, high leverage on a daily basis. Anyone any idea? It's the 60th page and we still don't have an answer. I've been searching about Panama but I'm still not sure. I don't remember the guy's name but someone a couple of page ago told me that I've lost my mind because there won't automatic exchange of information. F*ck he was wrong and I was right. Now I gotta move. Anyone any idea?
I intend to go to Dubai (United Arab Emirates; 0% tax) or HongKong (China; about 15% tax) for some years to accumulate capital. Here's a list of all countries with their tax rates: https://en.wikipedia.org/wiki/List_of_countries_by_tax_rates
Thanks for the link although I already published a much wider and deeper analysis that you can found on the 34th page: http://www.elitetrader.com/et/threads/best-country-for-trading-tax-efficiency.189932/page-34
The only reason why I won't move to Dubai is that sex outside of marriage is strictly illegal and you can go to jail if you have sex with someone. I consider tax evasion a smaller risk than this.
I never really liked Monaco and I know that I'm alone with this. It's nice and shiny but I'd rather live in a normal country. Furthermore Monaco is tax-free for individuals only. Companies have to pay 33%.
A couple of people shared a similar idea about automatic information exchange a couple of pages back. My claim was that this year or next (when is the date you advanced when there's an agreement coming to execution ?) information from Taiwan, mainland China and local UAE banks (which don't include the international banks from DIFC - Dubai Internationa Financial Center) wouldn't be shared, especially not automatically. Are you having a problem in those juridictions ? Besides regarding your listing a few pages above, which is quite interesting, can you add or link some extra info on Portugal and Spain ? I'm actually considering going back to Europe, and whereas Portugal is the first choice at the moment, because even without a complicated set up taxes can be pretty sweet and there are less social troubles there than in Spain - or than in Belgium for that matter, which I'm considering less and less- I would much rather move to Spain, where I feel very much at home. I had a quick check a while ago for set ups in those countries minimising tax on offshore income but haven't found much useful info. I don't trade much anymore btw,with a little tweeking I could get most or all on passive income, but than I don't like witholding tax on dividends. As of Dubai, again, i'm not sure where you got this information that expats, especially non muslims, go to jail for having sex outside marriage. For the guys i know who have enough spare cash there, it is a very good pick up place. And if you get tired some drugstores have huge stacks of cyalis and viagra which they sell over the counter.