What are the implications of registering a company with "made-up" residency?

[bibing]

This is the scenario:

Let's say somebody incorporates a company in HK or UAE or‌ Singapore.

Passport from Spain.

If he/she declares he is resident in Philippines (to avoid‍ any AEOI/CRS stuff), without being really one anymore, what could be the chances the Spanish⁠ gov finds out?
Is there a chance the HK/Singapore/UAE finds out?

Honestly, everybody freaked out⁤ back in 2016 about AEOI.... Till date I still don't know of any case of⁣ people having trouble with the tax office of their own EU country.

 

[JohnnyDoe]

If you produce legit looking residence documents you should be fine

 

[Dandyline]

It's what you declare to the bank when opening the corporate account that⁢ means anything. You can just say that you are a residence anywhere, as long as︀ you can back it up it they ask for more information, most banks doesn't ask︁ for more information. AEOI/CRS is not that big of a deal, easy to solve.

 

[CaptK]

If you intend on staying in Spain then it won’t work?

 

[zzzzzz]

Try to read annual report of your taxman, they⁠ often reveal numbers about automatic exchange and things you can't read anywhere else. Automatic exchange⁤ (CRS/FATCA) is real and people have real problems with unreported income/gains abroad.

 

[bibing]

How to back it up? Would a TIN be enough?

 

[JohnnyDoe]

An utility bill and a made up tin

 

[disconnected]

The thing that would make me worry is that they'll have your Spanish passport on‌ file, as you will need that for ID. Sooner or later that could lead to‍ trouble, I think.

 

[JohnnyDoe]

The only way for not worrying at⁠ all is to pay your taxes.

 

[bibing]

In this‌ case a made up utility bill and a real "old" TIN

If you mean pay your taxes in Philippines that would be OK...

The difficult thing in⁠ EU is to justify you have a company abroad without having an entire organizations there⁤ (office, employees, etc. ).

 

[JohnnyDoe]

of course you can’t and‍ you should pay taxes for the company in the EU country where you live/manage the⁠ company from

 

[bibing]

Yes...I should old)(#.

But of course that is not the purpose of all this setup‌

 

[Martin Everson]

People publicizing being caught by the taxman is not⁠ something many would choose to do. You pay the fine move on and hope your⁤ neighbors don't find out what you did.

 

[JohnnyDoe]

So you should accept the fact that there are risks,‍ and try to mitigate them