Best set up if I’m tax exempted in my country from offshore profits

[BTCNG]

Where can you EASILY open a bank account for a canadian LP? I think this⁢ is the bigget issue. Which banks in which countries are easy to open a bank︀ account for Canadian LP?

Also, can you recommend on who can assist to open the︁ Canadian LP +bank account? I checked online but couldnt find someone that I can trust.︂

 

[Artemis Eleutheria]

Try contacting any of the Canadian banks with presence in the US

 

[Artemis Eleutheria]

RBC will give you a US account ... if you manage to open a Canadian‌ account first. Crapshot for LP though.

https://www.rbcbank.com/cross-border/business-banking.html

 

[Artemis Eleutheria]

BMO Harris was opening accounts earlier this year for Canadian companies

https://www.bmoharris.com/main/small-business-banking/

 

[Tax Cow]

No no, I'm clean and I wear angel's wings to work ange¤%&

 

[Joe Blasco]

excuse xzars if I understand well your writings, you are saying that a US business entity︂ with a non resident and no citizen shareholder/director can get a banking account in US︃ ? Is this still possible? Thank you...

 

[Tax Cow]

Yes, but you must get an EIN number for your entity. I don't know a high⁠ street bank except for Chase that has any problems with it.

 

[Joe Blasco]

thank you xzars ! Yes ofcourse I will have a EIN , I think one‌ way or the other is obligatory and I do not have any problem to travel‍ to US to present myself to the Bank officers as director . But To get⁠ rid the annual auditing and fiddling with the IRS do you think is possible to⁤ open a US account for Ontario LP ? from what I read opening an account⁣ in Canada is impossible...

 

[Tax Cow]

@Artemis Eleutheria is a better⁢ source of information regarding anything Canada. I don't use Ontario LPs. He said that it's︀ still possible to open an account in the US, but the odds are not that︁ great any longer. Your business size could be a relevant factor because offshore one-maner's don't︂ spark as much interest in the eyes of a bank (why onboard that toxic risk︃ for peanuts in income?).

---

Regarding the hassle with IRS. I'm convinced that reporting and︄ filing is actually a good thing, not bad. It gives a degree of legitimacy to︅ your operations, making the banks feel more comfortable with you.

Even if the clients do︆ laundry, and the bank gets caught, the bank can completely escape or significantly reduce fines︇ - as long as they can demonstrate that they put in good-faith effort @ AML︈ compliance. On the other hand, if the bank on-boards offshore LPs and IBCs to which︉ no reporting or filing requirements apply, it's not good-faith effort.

 

[Joe Blasco]

Thank you I am investor in the stock market, for︅ tax reasons , reasons of strategy and financial security I do not wish to possess︆ all this stocks as a physical person. 20 years ago I used to run 2︇ St Vincent Ltd's for this purpose but ofcourse nowdays they are more a hassle than︈ a service . So I am searching a respectable solution to this problem. UK formations︉ I observe are a lot used in this business for this purpose but I am︊ not a resident there and I am puzzled if I can find a bank. US︋ sounds OK, I am only scared by the fact that the goverment there is using︌ finance as a weapon against other people and countries and I am afraid not to︍ be entangled in any political game because I may hold citizenship or have ties with︎ the "wrong" country...

 

[Artemis Eleutheria]

Unless you are involved in high-leverage bets⁠ in the market that may more than wipe out your capital it does not seem⁤ to me that an intermediate entity would add much value.

As you note the US can be risky due to political factors.

I am︅ left wondering if you maybe might be better off approaching this from the other end︆ ... that is what geographical markets are of interest to invest in for you. Unless︇ US securities are a top priority you may find that there might be better solutions.︈

 

[Artemis Eleutheria]

It should also be noted that a Canadian LLP/LP may NOT afford you the risk‌ protection that you may be looking for. These are essentially partnership entities which mean they‍ are transparent for many issues ... including some potential liabilities.

 

[Joe Blasco]

Hi thank you Artemies Eleutheria. I do not get molested about the transparency, I⁤ do not want to be obvious that me is me who is trading but on⁣ the other hand I do not care much if somebody finds out that I actually⁢ hold the stock. For good or bad I am not involved in any inside trading︀ information nor am I a CEO in these companies which i hold stock so everything︁ is legal. I just do not want to hold everything in my name and I︂ need some kind of legal entity with respectability and a respectable bank account , in︃ other words a holding company for stocks for firms that are trading freely in the︄ major European stock markets. The Ontario LP you suggested sounded OK but I reckon there's︅ going to be a problem opening a Bank account in Canada. UK Ltd has the︆ same problem with bank account also. Cyprus Ltd, I do not want to be involved︇ with the auditing, I am not buying or selling any goods , I do not︈ need the monthly VAT declarations and I have some serious doubts about the ability of︉ accountants there plus they are charging on the rule of eye, they speculate how much︊ money you are making and regardless how much work or burden you are for them,︋ they charge you accordingly, an arm and a leg... Funny but reading the forum I︌ noticed that Seychelles IBC scheme is still running and Al Salam bank there accepts clients︍ for a minimum balance of 25000$. Not a very repectable solution but at least cheap,︎ solid looking, same jurisdiction, same bank, I don't know maybe I'll have a look onto️ this if I do not find anything better...

 

[Artemis Eleutheria]

You misunderstood what I referred to as transparent.⁢ The Canadian LLP/LP need not be particularly transparent with respect to your person (ie partner︀ identities) ... in fact it can be much less transparent than anything you will find︁ in most IBCs in traditional offshore locations today.

I was referring to legal risk exposure,︂ and in that respect the Canadian option may not hold any advantage at all relative︃ to holding it in your personal name.

Unless you clarify what you hope to achieve with a legal entity there is no︈ way anyone here might provide suggestions that can solve the issue you have.

Why do you need︋ a bank account in Canada for holding stocks in major European stock markets.

Furthermore if︌ european stocks are what you want to invest in there seem to be no reason︍ to get a US account.

 

[Joe Blasco]

[No content provided]

 

[Artemis Eleutheria]

Everyone has legal risk exposure ... no matter how 100% legal you believe yourself to‌ be. I do however understand it is not an important factor for you.

To the‍ specific factors you do mention as relevant:

Inheritance - Probably require very specific advice ...⁠ trusts may be an interesting option
Strategy - Somewhat unclear ... but I think it⁤ does not matter where
Tax reasons - There are no stable tax jurisdictions anywhere, but⁣ some are less unstable than others.

Putting all your eggs in one basket because it⁢ looks better> Maybe reconsider your aesthetic preferences?

All that said I would say that any︀ location could work for you. Maybe look at UK or Ireland

 

[Joe Blasco]

thank u 4 r time...yeah I would be interested in UK formation but︁ I don t know if I can open a bank account there as director and︂ I ain t resident. Bulgarian company I can formulate or Cyprus and I already have︃ personal accounts there, so I m more confident I can arrange something with the bank︄ (s) but as with the UK I do not need the auditing. I am not︅ selling or buying products or add or deduct VAT . For Irish formation i do︆ not know much, neither for irish banks but again it has the auditing which for︇ me is unessesary expense . Any other idea wiill be most welcomed...

 

[JohnLocke]

So why don't you simply move on with a Cyprus company then ?

 

[Joe Blasco]

Because of the auditing requirement and the greedingness of the accountants there.‍ Auditing I m not selling or buying any products to have VAT bother me each⁠ month, secondly the accountants were eager to charge me on the rule of thumb, how⁤ much money I may have or making than how much work burden my LTD would⁣ have been for them. Thirdly and this applies to everybody , I got the impression⁢ that if there was just the simplest official enquiry from what ever foreign service, tax,︀ judicial etc they would be more than happy to supply all my data and save︁ their skin.

 

[Joe Blasco]

to be completelly solid the Cyprus LTD one needs to︁ get the residency and the 17 year exemption from tax on the dividents. Unfortunatelly Cyprus︂ is a tourist destination and price for real estate is quite high making the "︃ paper " residensy scheme expensive.