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How to protect offshore assets?

Offshore asset protection

Today, the issue of asset protection from your enemies in offshore is particularly relevant. This is an opportunity to escape from taxes that bite like a wild beast, and from curious partners who only dream of getting rich at your expense.

First, you need to open an offshore company and a foreign bank account where you can safely save your savings. However, despite the fact that this process is only the basis, but it must also be approached with due seriousness.

Firstly, for cooperation within the framework of the registration of an offshore company, choose only a reliable agent who has proven his quality through his long-term presence in the market, and a huge number of partnerships. Since it is the partners that are an indicator of the successful and reliable operation of the registered agent. How to check it? It is very simple, the more competently the information about the services of the agent is presented, and also the choice of services offered is wide, the greater is the partner base.

You should not rush to the first profitable offer, each registration agent and your potential partner know the price for their services, so a low price will talk about possible fraud and your further frustration.

But, even when you have already decided on the choice of partner in the registration of your offshore company, do not forget about the sacred in this business – confidentiality. Confidentiality is the key to your continued success and the peaceful use of an offshore company.

A high level of confidentiality should extend not only to the choice of the correct jurisdiction in which the company’s registry will be closed or will only have limited information about you but also to your personal privacy.

If you work, for example, in the shipbuilding or trading business, which is often registered in jurisdictions with an open registry, such as Hong Kong or Cyprus, then you should not abandon the use of nominal service. Despite the worldwide condemnation by government agencies of onshore jurisdictions with regard to nominal service, this service can really protect you and your business.

Who and how can subscribe for an offshore and other frequently asked questions about controlling an offshore company.

Why it is not necessary to choose local and non-professional face values from the street and what to do if you, without thinking, became nominal?

However, in the process of deoffshorization appeared such offshore jurisdictions, about cooperation with which it is worth thinking twice. It is not necessary to register a company in a jurisdiction when all others massively seek to leave it.

In such cases, it is worth asking for advice from an offshore specialist, who will help analyze your business and weigh the pros and cons, in selecting the right jurisdiction.

Further, this is, of course, your personal silence. The fewer people who know about the existence of your offshore company, which, by the way, many of your assets will be written on, the less likely it is that third parties, such as creditors, government organizations, banks or just your detractors, will find your assets.

After your offshore company has been registered, in accordance with your desires and goals, it is time to select a foreign bank account for doing business, as well as accumulating savings.

Everyone knows about bank secrecy, but in addition to this, we must remember about bank risks. When choosing a bank, I recommend that you familiarize yourself not only with the history of the bank but also with the legislation of the country in which the bank is located, in case of its bankruptcy. For example, in Europe and Hong Kong, banks guarantee an insurance amount of 100 thousand euros in the event of a bankrupt bank. If you had money in Cyprus, then you should be well aware of this, since Cyprus, as part of its “deposits” haircut, has precisely cut an amount over the insurance of 100 thousand euros.

Therefore, when choosing a bank, it is important to know not only the inside of the bank but also the country. Yes, do not forget to check the liquidity of the bank, which also greatly affects its stability.

Finally, these are the second passports. Something that can truly protect not only assets but also life. Take a look at Ukraine, which is like a medieval state divided into several parts. Those who had time left for the best lands, and those who did not, regret not doing.

The second passport will provide an opportunity for everyone to acquire a second homeland, which will always be ready to receive and heat. In addition, a second passport, for example, offshore jurisdiction, also grants: tax-free existence, ease of opening a foreign bank account for a new document, profitable real estate investments with the ability to increase capital and return the cost of acquiring a second passport.

Israel imposes cryptocurrency taxes because it is not a means of payment … Asset protection

The Israeli government has decided to impose cryptocurrency taxes. In terms of the law, bitcoin, ether, and others are not currency, but property, digital property that is taxed.

The Israeli authorities did not agree that cryptocurrency is money or legal means of payment. For this reason, there was a choice of one of two things: consider them security or a commodity/property. Under the definition of securities, they also do not fall due to the fact that there is no single issuer that will provide the issue and redemption.

Therefore, only a category of goods remained from a small list.

In practice, this means taxing Bitcoin and other cryptocurrencies at very harsh tax rates: you have to pay capital gains tax, which is 20-25%. In addition, if there were no documents on hand to prove the costs when buying cryptocurrencies, you will have to pay with the entire amount of the sale!

Israel’s tax amnesty in comparison with the Russian program

Plus, in some cases, you must also pay a VAT of 17%. It will be paid by those who are engaged in cryptocurrency, as a business (traders and miners), plus those who acquire cryptocurrency through intermediaries. On top of that, bitcoins will be accepted not as currency, but as “barter”, which means additional paperwork for the business.

The tax authorities of Israel understand that such an approach will cause difficulties for cryptocurrency users, but they talk about the need to adhere to the letter of the law. The law has been passed, but various specialists continue to work on it. It is unlikely that it will become softer, but it is possible that some kind of relief will appear or the convenience of interaction with law enforcement agencies will increase.

The example of Israel shows what difficulties arise if the authorities do not follow the path of simplification, but the ways of creating artificial barriers. Or in an attempt to earn more on taxes, without even fully understanding how the system works.

The pressure may have another reason: the desire of Israel to release its own “digital shekel”, which will become a legal cryptocurrency in the country. This, according to the authorities, will stop the development of the shadow market.

There is, however, a question: what will force citizens to switch to a currency that is fully controlled by the authorities and which can be written off, destroyed or lost at any moment without demand? Modern cryptocurrencies are initially popular due to the fact that they are almost impossible to control and difficult to track. Only then did the price increase due to the attention.

What can the authorities offer? Only that with ordinary fiatnnymi currencies: control, price retention, taxes.

Will Israeli residents have to give up cryptocurrency?

Do Israelis have to pay draconian taxes or refuse to cryptocurrency? If they decide to remain completely inside the Israeli financial system, then yes.

However, in the modern world, there are no borders, including economic ones. It is always possible to find an alternative legal way to protect and increase the fortune. Especially in such a freedom-loving and uncertain area as digital assets.

Of course, there will be nuances and the need to declare income, no matter where you receive it. However, it does not interfere in any way with active activities. Especially all over the world there are enough countries that so far or already allow obtaining digital coins, selling and storing them without special restrictions.

Canada and Israel offer an opportunity to get a startup visa to foreigners

If you wish, you can even open your own cryptocurrency project in Belarus or Australia.

By the way, Israel proposes to tax and ICO. Such a proposal was announced at the end of January in the draft law regulating this area. ICOs plan to require two types of VAT to be paid: a maintenance transaction and a sales transaction. The sale of services and goods to foreign residents is not taxed.

If ICO collects more than 15 million new shekels, then the company must comply with the requirements of financial statements in accordance with current legislation.

Of course, this is not a final decision and the authorities are waiting for public discussion. However, judging by the proposed rules on cryptocurrencies, restrictions for crypto-business will only increase. Lightness can only dream.

In general, this market is in its infancy, but it is gaining momentum rapidly. It concerns the whole world. The number of those who earn on it and the number of those who lose millions grow. Therefore, mindlessly buying everything in a row is unwise. Especially if you still want to take taxes.

How to choose those assets that will bring predictable profits? You can independently explore the market and all those several hundred coins and tokens that are already on the stock exchanges. You can take a chance and buy startups and ICO tokens. And you can use the help of professionals and save time and nerves.

We suggest that you visit the cryptocurrency investment advisory. On it, you will learn which cryptocurrencies should be invested in and why, how to do it as safely as possible. You can ask questions to a specialist and get an answer to them.

Do not forget to diversify your assets. You should not invest all the money in one class of assets and even more so – to keep them on the same exchange or wallet. In general, it is highly recommended to use different types of assets for greater safety.

It is not only about different cryptocurrencies, but also about more familiar assets: real estate, stocks, and bonds, gold and bank accounts. They should also be located in different places: store gold in Switzerland or Singapore; open an account in Germany and Belize; transfer the yacht under the flag of Georgia; and transfer your company’s share of the business to St. Kitts and Nevis.