Unless you have partners you share this company with abroad or office directors and employees taking some real decisions in the country you create the company at. You will almost certainly have pay taxes in your home country (even if the company is incorporated offshore it will be considered a resident of your own country) not doing so will be illegal. You could still relocate yourself (and SOON - so you can acquire tax residence elsewhere during this year and live in a much more favorable tax environment)
If you are in a EU country and you aren't invoicing your buyers or at the bare minimum collecting their IP and address/country (which 99.9% of NFT projects don't do) you might even have to pay an average of 20% (depending on your own country) VAT for all transactions as you cannot tell the buyers origin. That coupled with corporate tax and income/dividend tax of the average EU country and you are looking at around 60%+ to the tax-man. Changing the way you go about delivering your NFT (collecting buyers data) or being in countries with low VAT/GST or no VAT/GST at all, will help
Also you need to look into what type of NFT project are you planning to release (as some can be categorizes as securities and that could land you in serious trouble, harmless looking things like fractionalizing NFTs or DAOs with community funds for instance).
Countries like UAE could be good for your personal tax residence (for which you most likely need a company setup so you can get a visa to live there and obtain your tax residency) but right now I don't see anything pointing to UAE being safe or ideal for launching a NFT collection (as a company) with the latest announced rules, too much uncertainty. You have some options but they depend on your situation and what you are willing to concede.
Last edited: Mar 19, 2022
