Reducing taxes by cashing out every couple of years

[daniels27]

Yes but then you need‍ to be careful. Many countries have rules against this. Guernsey taxes all profits as if⁠ they were distributed as dividends (20% for residents). And Switzerland? There is a law that⁤ says that if you reduce WHT, all distributable profits with be taxed according to the⁣ old rate.

 

[daniels27]

It won't work unless you have a parent︃ company elsewhere with a lot of economic substance. Once your cash your, you will fill︄ out the form for no WHT/less WHT, they will check. If they then find that︅ your holding company was actually managed from Switzerland every other year, they will deny all︆ treaty benefits. And a tax certificate from whatever is not going to help as they︇ check themselves.

Also see my above post, they will tax and distributable profit at the︈ former full rate.

Next problem what is with the Swiss company when your are not︉ there? Who is managing it? If you just leave, the tax audit is 100% for︊ the last year you were present. And then you may also face exit tax on︋ the goodwill.

 

[providenceventurer]

So Wellington is⁠ the DTV enough for me to be in Thailand and do this dividend game that⁤ you are playing or do you recommend any other visas,something that has value for money⁣ will be nice to know.I am building my business so dont want to go over⁢ the top with my spending for the different Thai elite visas .I think with the︀ DTV we are still not residents in Thailand isn't it?

Also from the above discussions︁ of the members @Marzio and @daniels27 it looks like Switzerland is not a great option︂ because they will try to use different ways to tax me this way or that︃ way.