Best EU residency for low income tax?
- Thread starter HeinzKetchup69
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I am not joking.. however, it's not something that happens to the majority, and if you search, you can find more interesting "cases" from the forum.
In my view, Polish people are quite advanced in using offshore structures, and for a good reason.
If it's just 2 years, maybe you can avoid having any income and/or create legal structures︀ and live on credit/loans instead.
In my view, Polish people are quite advanced in using offshore structures, and for a good reason.
If it's just 2 years, maybe you can avoid having any income and/or create legal structures︀ and live on credit/loans instead.
UAE EXPAT POPULATION:
Local citizens account for just 11.5% of the population.
| Nationality | Population | Percentage |
| India | 4.75 Million | 37.96% |
| Pakistan | 2.09 Million | 16.72% |
| Bangladesh | 0.92 Million | 7.38% |
| Philippines | 0.86 Million | 6.89% |
| Iran | 0.59 Million | 4.72% |
| Egypt | 0.53 Million | 4.23% |
| Nepal | 0.39 Million | 3.15% |
| Sri Lanka | 0.39 Million | 3.15% |
| China | 0.27 Million | 2.16% |
| All other countries | 0.27 Million | 2.16% |
| Total Expat Population | 11.06 Million | 88.50% |
Local citizens account for just 11.5% of the population.
I meant;
UAE company (yours in which you do business and accumulate your wealth) -> sends money to a payroll company in the country you reside -> pays your salary (and withholds wage taxes etc)
The only thing in this is that you have to report in some countries the ownership of your UAE company if its above a certain percentage and in some occasions pay taxes on the ownership.
The question then is "would the tax authorities find out if you are only in that country for 2 years?" Likely not if it is not your home country.
The above is the cleanest way.︀ The less clean way is to just take money and reside in a country and︁ not report anything. Be the perpetual traveler. This means a little higher upfront cost as︂ you would for instance not be able to rent directly as you are not residing︃ in that country officially. You would then use airbnb and the sorts. A country such︄ as Cyprus wasnt even paying attention to things like this until a decade ago. I︅ dare say that you would in Cyprus likely still get away with it provided that︆ you have a European passport.
UAE company (yours in which you do business and accumulate your wealth) -> sends money to a payroll company in the country you reside -> pays your salary (and withholds wage taxes etc)
The only thing in this is that you have to report in some countries the ownership of your UAE company if its above a certain percentage and in some occasions pay taxes on the ownership.
The question then is "would the tax authorities find out if you are only in that country for 2 years?" Likely not if it is not your home country.
The above is the cleanest way.︀ The less clean way is to just take money and reside in a country and︁ not report anything. Be the perpetual traveler. This means a little higher upfront cost as︂ you would for instance not be able to rent directly as you are not residing︃ in that country officially. You would then use airbnb and the sorts. A country such︄ as Cyprus wasnt even paying attention to things like this until a decade ago. I︅ dare say that you would in Cyprus likely still get away with it provided that︆ you have a European passport.
Wouldn't it be better to simply get paid that salary into your own UAE personal account and then spend that money in the country you live in? (e.g: Estonia).
Without creating another company in the local residency country which creates further complications and extra accounting costs.
Without creating another company in the local residency country which creates further complications and extra accounting costs.
Salary = work and work = social security contribution + taxes due in the country where you perform the work.
If your plan is to work remotely for your UAE company, get paid a salary without paying any taxes while living in EU you are looking for troubles.
And i'm not even entering the conversation that managing your UAE company from EU will make it tax resident in EU.
Beside that,︀ an EOR is a third party company that you do not control that helps businesses︁ to hire talents in countries where the company doesn't have a presence.
The EOR is︂ a local company that will hire you, pay all social security taxes on behalf of︃ your UAE company.
You are basically interposing a third company between your salary and the︄ UAE company.
The most dangerous things in life︆ are the things you think you know but in reality you don't.
If your plan is to work remotely for your UAE company, get paid a salary without paying any taxes while living in EU you are looking for troubles.
And i'm not even entering the conversation that managing your UAE company from EU will make it tax resident in EU.
Beside that,︀ an EOR is a third party company that you do not control that helps businesses︁ to hire talents in countries where the company doesn't have a presence.
The EOR is︂ a local company that will hire you, pay all social security taxes on behalf of︃ your UAE company.
You are basically interposing a third company between your salary and the︄ UAE company.
The most dangerous things in life︆ are the things you think you know but in reality you don't.
to be fair, Bulgaria is probably the best place now in Europe if you want to do the whole fake tax residency︀ thing. They joined Schengen and you can easily drive in and out without any registration.︁ Malta and Cyrpus (Cyrpus is not part of Schengen) means taking a flight or ferry︂ so there is always a manifest when you were inside or outside Malta/Cyprus, no such︃ thing with Bulgaria anymore
I think it's easier to stick by the rules and move somewhere where you can be comfortable for the 183 days.
If you were ever under scrutiny about your︀ tax residency in Bulgaria you would not be able to prove that you had spent︁ the 183 days there if you had not similarly if you were investigated, it would︂ be apparent where you were living (unless you live like you are on the run)︃
If you were ever under scrutiny about your︀ tax residency in Bulgaria you would not be able to prove that you had spent︁ the 183 days there if you had not similarly if you were investigated, it would︂ be apparent where you were living (unless you live like you are on the run)︃
I don't know Bulgaria, but I moved 3000km to Romania for 1 year and a half and it is delightful. Very european lifestyle, people is very open and kind, made a lot of friends.
I even got an apartment in Baia Mare for new years eve, and when we had this small talk with the owner that we were travelling around and such, he invited us︀ to a party at his home with his friends, drinks and food, we were going︁ to be just for dinner and a bit more and in the end we stayed︂ up to 6 am and the next day, which we had to leave the apartment,︃ he allowed to stay for free to sleep the hangover out.
We still chitchat via︄ WhatsApp, also with my other romanian friends, who even a couple told us when we︅ left the country "don't forget to invite us to your wedding, whatever place you are".︆
Cities in Romania (brasov, bucharest, sibiu, baia mare, timisoara, constanta...) are turning to have a︇ very european lifestyle. My home was 3000km away and I didn't feel any cultural shock︈ in any way. Btw, if you moved to more towny places, you feel the difference...︉ Although people is still lovely. We were wandering around talking by phone because an Airbnb︊ guy sent a wrong address and he didn't speak english, nor used WhatsApp (towny places,︋ old people, maybe the son managed the Airbnb but the father managed the check-in, idk)︌ and a woman, out of the blue, just asked "do you need help?" got the︍ phone to talk with the man and translated everything to us.
Also they are starting︎ to be european when talking about taxes :-( that's why I'm leaving Romania after all️ this time. A pity as I liked it.
I even got an apartment in Baia Mare for new years eve, and when we had this small talk with the owner that we were travelling around and such, he invited us︀ to a party at his home with his friends, drinks and food, we were going︁ to be just for dinner and a bit more and in the end we stayed︂ up to 6 am and the next day, which we had to leave the apartment,︃ he allowed to stay for free to sleep the hangover out.
We still chitchat via︄ WhatsApp, also with my other romanian friends, who even a couple told us when we︅ left the country "don't forget to invite us to your wedding, whatever place you are".︆
Cities in Romania (brasov, bucharest, sibiu, baia mare, timisoara, constanta...) are turning to have a︇ very european lifestyle. My home was 3000km away and I didn't feel any cultural shock︈ in any way. Btw, if you moved to more towny places, you feel the difference...︉ Although people is still lovely. We were wandering around talking by phone because an Airbnb︊ guy sent a wrong address and he didn't speak english, nor used WhatsApp (towny places,︋ old people, maybe the son managed the Airbnb but the father managed the check-in, idk)︌ and a woman, out of the blue, just asked "do you need help?" got the︍ phone to talk with the man and translated everything to us.
Also they are starting︎ to be european when talking about taxes :-( that's why I'm leaving Romania after all️ this time. A pity as I liked it.
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