Setting up offshore or moving to trade

Discussion in 'Professional Trading' started by Ialwayslearn, Jul 22, 2007.

  1. yxy

    yxy

    Yes, it's true that a greencard holder also has to pay taxes even if they don't live in the U.S.

    However, I think they (both a citizen and a greencard holder) won't have to pay taxes up to something like $80,000 of income and capital gains that they make outside the US (forgot the exact amount). You would have to pay taxes on anything above the amount.

    I checked this with two attorney friends who live outside the country last summer.
     
    #11     Jul 24, 2007


  2. Get a Panamanian citizenship ( buy vacation property ), and use that to structure your primary investment vehicle / accounts.
     
    #12     Jul 24, 2007
  3. I am not going to research all night, you guys can have at it, but the 10 year tax after leaving is designed to catch ppl. with over 2 million in net worth or more leaving the US. Unfortunately, not many on this thread have that problem, including me for now. :D

    And yes the exemption is 80k per person or 160k per couple with allowances for living expense writeoffs incured with overseas.

    It's easy to get around the above if you are truly serious. Sell everything you have whilst in the states, convert to cash, set up offshore and intially report transactions legally to IRS and then just move the rest. Countries like Switzerland and other tax havens will tell the IRS to pound sand on seizure, unless you are serial killer, drug dealer, or terrorist. Tax evasion isn't even a crime in Switzerland.
     
    #13     Jul 24, 2007
  4. If my wife and I relocate to another country and earn $160k/year and all that earnings is from interest, dividends and capital gains and not a salary (since we wouldn't be working at a job in another country), are we still able to exempt the first $160k and not have to pay the U.S. IRS taxes, even though all the earnings are interest, dividends, and capital gains.
     
    #14     Jul 24, 2007
  5. Just out of curiosity, what complaints do you have about the U.S.?

    And you are right, most Americans don't know what is going on. They are too wrapped up with American Idol, Dancing with the Stars, and Paris Hilton.
     
    #15     Jul 24, 2007
  6. spinner

    spinner

    #16     Jul 24, 2007
  7. Surdo

    Surdo

    This article does nothing to address the taxation of US residents overseas. Did you bother to read the OP's first post or the article?

    el surdo
     
    #17     Jul 24, 2007
  8. mss

    mss

    Generally, the exclusion you are talking about here only applies to earned income (911(b)(1)(A)).
     
    #18     Jul 24, 2007
  9. Bob111

    Bob111

    http://www.irs.gov/businesses/small/international/article/0,,id=164371,00.html

    got a green card-resident, been legally over 180 days-resident.
    i personally give up on idea of reducing(not hide) my taxes. there is no legal way to do that, once you are defined as resident. all those 80K deductions are bs,you have to qualify for it and trust me-it's not going to be easy. IRS knows about almost every possible way of tax abuse. after 9/11-forget about it,if you are in US. i did my research, I talk to numerous CPA's, lawyers-they all says same thing-forget it.of course there is some ways like set it up on local ppl name, and trade it, but even getting your money out will be VERY challenging.
    put some of your money-not worth it, put all of it-too much risks. imo-f**ck it,unless you know exactly, how it's done and you are comfortable with risks you are taking. i prefer good night sleep @ home,with my family,not in panama,dubai or state prison
     
    #19     Jul 24, 2007
  10. "But obviously if you have a business dealing with a lot of cash, obviously you don't have to then. "

    Nice words to say from prison... You would be amazed at the reach of the government.
     
    #20     Jul 24, 2007