Create a fake website to transfer funds out of home country

[arjunking]

Aim
Transfer money abroad to buy bitcoins at lower price
Problem
Bank transfer not allowed for purchase of crypto-currency. Pretty much impossible to hide the reason. I am not an European resident.
Solution
Transfer money via debit/credit card but all exchanges are charge high fees on it due to fear of charge-back.
Plan
Create a fake website so I can accept payments via debit/credit cards at low fee, transfer to crypto-currency exchange and buy crypto
Questions

1. In which country should I open the company? UK seems to be easiest and given that all money will be transferred to crypto, the company wont be making much profit so income tax rate shouldn't matter much. But can there be any legal troubles or troubles related to VAT/GST or filing accounts? Would you recommend any other country for it?
2. Should I open a bank account or would EMI's be enough? Any recommended list, especially that I would transferring to crypto exchange?
3. What products should I list on the fake website? The payments will be between 1000-5000$ each so some value items would be better. Or should I list some service or how about gift cards? I need to be sure of what I sell doesn't attract any VAT/GST and don't fall in high risk category so payment processor charges are low. UK companies' aren't required to pay GST on product exported out of UK so products seem like a good choice.
4. Would it raise any doubt in eyes of payment processor that the same person is making high value purchases from the same store?
5. Which payments processor should I use? Can shopify be used for all of this or a virtual terminal? I would want one which processes payment quickly, charges a low fees and accepts payment in non-local currency at a low fees and most importantly accepts a new company on board. All the purchases will be from me or my relatives/friends so I can guarantee that there will be no charge-backs.

Any insights would be helpful.
If there are any professional consultants on this topic then please share their contact info
If mentor group can be useful for this then please let me know

 

[exprtadvisrdev]

Wait the only goal is to buy cryptos at a cheaper price right? if is legal money why not just open a bank account in a jurisdiction where you can transfer money to an exchange? Wouldn't be that easier and safer?

 

[arjunking]

eadeveloper said:
Wait the only goal is to buy cryptos at a cheaper price right? if is legal money why not just open a bank account in a jurisdiction where you can transfer money to an exchange? Wouldn't be that easier and safer?
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Even if i open a bank account in another jurisdiction, i cant transfer money from my home country bank account to the foreign bank account. There are restrictions on for what reasons can the money be transferred. So this won't work.
Yes the money is legal.

 

[AlbanyJames]

Wouldn't the PSP block the account for money laundering reasons pretty fast? If you keep using same cards or all your transactions coming from prepaid cc's

 

[arjunking]

AlbanyJames said:
Wouldn't the PSP block the account for money laundering reasons pretty fast? If you keep using same cards or all your transactions coming from prepaid cc's
Click to expand...

This is something I would like to know.
I can use credit cards if that would help

 

[exprtadvisrdev]

Ok since sending money to a bank outside of your country is not an option then I have some questions:

- In which country is the money and why you can't transfer to international banks? There might be easier options than what you are trying to do.
- Are you sure this is correct ”the company wont be making much profit so income tax rate shouldn't matter much”? Because if your company sells a $5000 product/service and then you buy $5000 in bitcoins... your company still have a profit of $5000 so it has to pay taxes on that (at least this is how it works in multiple countries).
- Also, which currency are you wanting to use? That will give you more or less options when finding an EMI/bank account that could accept your business.

Here is a thread with a list of banks and EMIs List of Banks, EMI's, Payment processors and BTC to FIAT institutions.

 

[wonderwhat]

The lengths people go for buying Bitcoin is insane. You country laws are better and it's good. People need more financial education.

 

[Blackbird]

So your money is on personal account or company account? Can you form a company and invest your money there. It will be way easier. I doubt that there is any country that does not allow your company to make purchases from other countries?

 

[arjunking]

Blackbird said:
So your money is on personal account or company account? Can you form a company and invest your money there. It will be way easier. I doubt that there is any country that does not allow your company to make purchases from other countries?
Click to expand...

eadeveloper said:
Ok since sending money to a bank outside of your country is not an option then I have some questions:

- In which country is the money and why you can't transfer to international banks? There might be easier options than what you are trying to do.
- Are you sure this is correct ”the company wont be making much profit so income tax rate shouldn't matter much”? Because if your company sells a $5000 product/service and then you buy $5000 in bitcoins... your company still have a profit of $5000 so it has to pay taxes on that (at least this is how it works in multiple countries).
- Also, which currency are you wanting to use? That will give you more or less options when finding an EMI/bank account that could accept your business.

Here is a thread with a list of banks and EMIs List of Banks, EMI's, Payment processors and BTC to FIAT institutions.
Click to expand...

- We can send money to international bank but for restricted reasons. Like if we want to import something then a bill of entry of the imported good needs to be provided which is provided by the customs dept. They just don't allow to transfer money abroad for purchase of crypto-currency.
- In its accounts the company would be buying bitcoins worth 5k and selling bitcoins worth 5k. Only to the payment processor, the website would be shown where other stuff is being sold.
- I would prefer USD but EUR seems to be more accepted by EMI and banks

 

[Blackbird]

How much do you want to move money and in what time period? For example what if you buy software and show code and apps to customs.

 

[arjunking]

wonderwhat said:
The lengths people go for buying Bitcoin is insane. You country laws are better and it's good. People need more financial education.
Click to expand...

You don't know the underlying reason behind its purchase and also you made an assumption that I am purchasing bitcoin.
Commenting on people without knowing the whole details isn't such a wise thing.
Also as far as level of financial education is considered, I am an investment actuary so I think I have enough financial education to ask for advice on some matter

 

[Martin Everson]

arjunking said:
Aim
Transfer money abroad to buy bitcoins at lower price
Click to expand...

What country are you in...i.e India, Nigeria?

What do you consider a lower price i.e what markup is unacceptable?

The whole fake website stuff is not a good idea.

Toggle signature
Please note my posts should not be taken as financial or tax advice. Please seek professional advice in that respect.

 

[DaveDu]

i have 5 years looking ways to.buy cryptos around the world and i can say Colombia is one of the most cheapest places to.buy cryptos but -10% of Bitstamp USD market price is enought to use banks pay taxes and other things during the conpany is open ????

 

[Blackbird]

I still don't understand why do you need to buy crypto to take the money out of company abroad when there is so much more sophisticated systems to do this so that all paperwork and officials are happy.

 

[jscargo]

Saying the countries involved in this equation and answering basic questions is minimal when you are asking for free help.
It would only make sense to make a "fake website" if you could get it at a 0% income tax jurisdiction.
But, you would need to get a merchant to work on your "fake website". When you explain the merchant what your goal is, he will reject you.
That was one of the most irrational ideas I have read so far this year.

 

[wonderwhat]

arjunking said:
You don't know the underlying reason behind its purchase and also you made an assumption that I am purchasing bitcoin.
Commenting on people without knowing the whole details isn't such a wise thing.
Also as far as level of financial education is considered, I am an investment actuary so I think I have enough financial education to ask for advice on some matter
Click to expand...

Well, You can explain your underlying reason. If not, I assume you wanting to purchase BTC for money laundering, drugs, human trafficking.

It's pretty easy to purchase Bitcoins in India otherwise through an island.

 

[djaheim]

Someone asked which country you in that has such stringent foreign capital flows. I can only speculate Venezuela is one of those. India can be a pain too. Not that it matters anyway. what does your company do? Cause you could get another company to invoice you for “ consultancy fees” this way you can pay the invoices and money will go out . There are ways ,how much are you looking to move and over what period?

 

[arjunking]

Martin Everson said:
What country are you in...i.e India, Nigeria?

What do you consider a lower price i.e what markup is unacceptable?

The whole fake website stuff is not a good idea.
Click to expand...

2-3%, I plan to buy almost 20k USD per week

DaveDu said:
i have 5 years looking ways to.buy cryptos around the world and i can say Colombia is one of the most cheapest places to.buy cryptos but -10% of Bitstamp USD market price is enought to use banks pay taxes and other things during the conpany is open ????
Click to expand...

Thanks for sharing this, I didnt know this. Any idea why is it so cheap in Colombia?

Blackbird said:
I still don't understand why do you need to buy crypto to take the money out of company abroad when there is so much more sophisticated systems to do this so that all paperwork and officials are happy.
Click to expand...

The aim is to sell back the crypto in home country at a higher premium

jscargo said:
Saying the countries involved in this equation and answering basic questions is minimal when you are asking for free help.
It would only make sense to make a "fake website" if you could get it at a 0% income tax jurisdiction.
But, you would need to get a merchant to work on your "fake website". When you explain the merchant what your goal is, he will reject you.
That was one of the most irrational ideas I have read so far this year.
Click to expand...

What would be the point of fake website if I am going to explain to the merchant? it is definitely to hide the real reason from the merchant

wonderwhat said:
Well, You can explain your underlying reason. If not, I assume you wanting to purchase BTC for money laundering, drugs, human trafficking.

It's pretty easy to purchase Bitcoins in India otherwise through an island.
Click to expand...

No, I dont intend to use it for any illegal purposes. Just to resell it at a higher premium

 

[allthewayup]

DaveDu said:
i have 5 years looking ways to.buy cryptos around the world and i can say Colombia is one of the most cheapest places to.buy cryptos but -10% of Bitstamp USD market price is enought to use banks pay taxes and other things during the conpany is open ????
Click to expand...

are you saying to buy legit in colombia & trade for profit?

 

[Untangle]

Sounds like he is based in Vietnam
my 2 cents