I know some traders who moved to Puerto Rico but you're right it's very corrupt and the IRS has a long reach.
Singapore does not have capital gains tax. Interactive Brokers recently started their office here as well. So I reckon there's good amount of capital based here. Feel free to send me a PM.
To me the best option is to move to Italy. I assume that you make a lot of money, because that's the reason to move abroad. Italy has a flat fee option for foreigners. You pay each year a flat fee of 100,000 Euro. That's all. No other taxes and no inheritance taxes. Is 100,000 Euro too expensive? Depends on what you pay now. If your trading is taxed as income you pay social security and income taxes. If that is the case your break even point for taxes is around a trading income of 170,000 Euro. That was the case for me. So whether 100,000 Euro is expensive or not depends of your income. The alternative is pay capital gains taxes which are flat at 26%. It surely is a valuable alternative for moving to Monaco. Italy is much cheaper for living. Prices in restaurants and shops are much lower than in Monaco. And for the price of a small studio in Monaco, you can buy a villa on the border of the Mediterranean Sea in Italy. There are thousands of real estates for sale in the 1-5 million range. I added some extra information in attachments. The second best option is Bulgaria with a 10% flat tax rate. For individuals as well as for companies.
Does Singapore tax traders as a business (regular income tax) if trading volume exceeds a certain threshold (you have a finance degree, experience from working in banks, etc.) like the majority of other countries do or will you also in that case enjoy 0% tax in Singapore?
Other than our personal circumstances, we also have to consider climate, lifestyle, our safety and our health care needs
That's why I propose Italy as the best option. But for people who make not enough money I propose the other option.
As I understand, this tax scheme is intended for "non-Italian-sourced income". For those of us who trade (short term), income is always local. But if Italian tax authorities consider you an investor (longer term trading), this should work. virtusa are you in Italy? Did you check this with Italian authorities? If so, may I ask what is your average trading/investing period?
I never speak about my private life. I am a daytrader. All I can say is that what you assume is wrong. Go to Deloitte, KPMG, Ernst&Young, and ask yhem to negociate a fiscal ruling with the Italian Ministry of Finance. Will cost you roughly $5,000 and takes 3-6 months. Edit: US citizens cannot apply as they are always taxed on their entire worldwide income. They should give up US citizenship.
Can you quit this 100k/year plan anytime or do you have to be paying this tax for a set number of years? Let's say you become tax resident in 2021 do you have to stay there until 2031?
You can have this plan for maximum 15 years. You can stop each year without any problem and there are no fines. So each year when you have to declare your income you can continue the 100K plan or move to the 26% plan (capital gains). But if you stop or skip 1 year the 100Kplan, you cannot apply for it later again. If the fiscal ruling is accepted, you have to move within a few months or the ruling is cancelled.