Dominica has officially closed its offshore corporations’ sector. All corporations must shut down and no new corporations will be allowed to incorporate. As of June 28, 2021, Dominica eliminated offshore corporations and International Business Companies (IBCs). The specifics of the closure of offshore companies in Dominica are as follows. For the official order, see the
In this post, I’ll consider how much money you need to set up an offshore bank. This will consider multiple jurisdictions in the Caribbean, which are the traditional offshore banking centers. These are Puerto Rico, St. Vincent, and Dominica. First, a few comments on why I’ve chosen these jurisdictions. The reason for Puerto Rico is
One of the most difficult aspects of life as an expat is banking. This is especially true for Americans who are persona non grata at most banks around the world. Plus, we have trouble opening and maintaining our US accounts if we are not in the country often. Here’s what expats need to know about
The United States has updated the list of countries with which it has a tax information exchange agreement. This is a list of countries that share bank account information with the US IRS to ensure global tax compliance of US persons. The US also shares information with foreign governments to ensure global tax compliance. That
In this post, I’ll look at why international banks in Puerto Rico are in the Pandora Papers. While the left-leaning journalists try to spin these banks as somehow sinister, the truth is much more mundane. Here’s what you need to know about why Puerto Rico banks are in the Pandora Papers. The Pandora Papers dwarf
There’s been quite a bit of noise about the little country of Belize in the Pandora Papers. Yes, the Pandora Papers found 3 or 4 people using the offshore jurisdiction of Belize for illegal purposes, but what of the tens of thousands that set up in Belize for the right reasons? Here’s what you need
In this post, I’ll consider where to live in Tijuana. I assume you’re an American that’s looking for a change of pace, or you’ve set up a business in Tijuana to leverage the lower cost of labor. With that in mind, here is where I suggest you live in Tijuana. By way of background, I’m
The Pandora Papers are all over the news these days. But, how about a fair review of the Pandora Papers by someone who actually understands the offshore industry? Here is a summary of the Pandora Papers by an offshore expert. The Pandora Papers is a trove of stolen documents that include Trident Trust’s USA group,
If you operate a successful and portable business, you might consider relocating to Puerto Rico for the tax benefits under Act 60. This article will consider Puerto Rico’s Act 60 and how it might benefit you, the US entrepreneur operating a business that can be relocated. The three criteria for Puerto Rico’s Act 60 are:
The Biden administration is giving all kinds of new powers to the IRS. If you have a US bank account, it’s time to stand up and take notice. If you’re operating an international business or are high net worth, the IRS is coming for your bank account. A big part of Biden’s plan to raise
In this post, I’ll review the Tier 1 capital you should have at the ready before filing an application for a new bank license, or before attempting to purchase a bank, in the US territory of Puerto Rico. That is, I will consider the Puerto Rico bank capital requirements for 2022 and not the misinformation
In this post, I will consider whether to live abroad and take the foreign earned income exclusion to save on US taxes or to live in the US territory of Puerto Rico. Both Puerto Rico and the foreign earned income exclusion are great tools for reducing your US tax bill. But, which one is right
I’ve been in the offshore banking industry since 2003 and I’ve never seen the number of scams in the offshore bank license market as I have in 2021. The offshore bank license market is filled with scammers and fraudsters. Even respected websites like DealStream have many listings that are scams. Websites like DealStream allow anyone
I’m often asked, where should I hire offshore employees? That amounts to the same question as, where should I set up my offshore business? Where should I set up my outsourcing business that requires a number of employees? When asked where I should hire offshore employees, here’s the trick I’ve learned. Step 1 is to
The IRS is targeting US lawyers in the Supreme Court and it’s going to have major implications for the offshore industry. The IRS has issued a “John Doe” summons to a law firm demanding the names and information on every client that has hired them for offshore tax planning… and the Supreme Court has allowed
In this post, I’ll describe how to calculate the foreign earned income exclusion. This is meant as a general guide for calculating the FEIE and I assume that most will either use a software program to calculate the foreign earned income exclusion or hire a professional to prepare their complex tax return. Before we get
As the Biden administration searches for cash to fund their social programs, they are taking aim at your Roth IRA. If you have a larger Roth IRA, expect the government to begin taking a cut of your earnings or eliminate your ability to contribute to a Roth IRA in 2022. Under the new rules, persons
The Foreign Earned Income Exclusion is the most important tool expats and Americans living abroad have to reduce their US tax obligations. In this post, I’ll review the Foreign Earned Income Exclusion and explain how and when it can help you save on your tax bill. In fact, since the Trump tax cuts, the Foreign
Everyday owning a house in the United States is becoming more of a dream than a reality. High prices have made it impossible for millions of Americans to live in big houses with huge yards as their fathers and grandfathers did. For this reason, many Americans have chosen to retire abroad and buy a property
7. Loreto, Baja California Sur If you drive south from California you will find the Mexican state of Baja California Sur. Baja California Sur is the home of many popular American destinations such as La Paz and Cabo San Lucas. Both of these cities might be a good place to buy a house, but being