German perptual traveler

[lastondkey]

Hi, I am a German Citizen who has been living as a digital nomad for‌ the past 8 years never staying anywhere for longer than 3 months.

My income has‍ been completely from outside the EU, and I have also been staying almost completely outside⁠ of the EU.
I still maintain a german bank account though which I am using⁤ to get my income (which I haven't been paying taxes on for this period).

I understand that this is legally a grey area and there are different interpretations of the⁣ german tax law,
wether I would be still considered a tax resident within Germany by⁢ german law.

This is why I am currently considering getting tax residency in another country,︀ I have been reading a lot of posts/forums including this one,
but haven't really found︁ a solution that works for me yet. Basically I would like to maintain my lifestyle︂ where I can move to different countries all the time, but
maintain tax residency in︃ one country with only having to stay there a period that is less than the︄ 180+ days required by many legislations.

I am currently considering Dubai, as this at least︅ is easily accessible by airports from most places in the world,
but unsure if I︆ really only need to stay there a few days per year to maintain a tax︇ residency?

The other places I have seen mentioned often are Georgia/Cyprus/Gibraltar/Monaco/etc which all don't seem︈ so attractive to me because they are hard to reach.

 

[RealDude]

Have you deregistered from Germany and what address did you give the german bank?

 

[JohnnyDoe]

Sorry to ruin your dreams, but not such a thing as a PT or digital︊ nomad exists. You are liable to German taxation until you formally and effectively cut your︋ ties with Germany and establish your residence elsewhere.

 

[fshore]

Malaysia is 90 days from year 4, if that could work for you (182 days‌ the first 3 years).

Cyprus another option, 60 days (with some conditions).

 

[lastondkey]

Yes and Tuvalu
I don't want to get into this argument from what⁣ I understand after consulting with german lawyers/tax experts and people from the ministry of finance,⁢
this would be decided by a judge who would decide if I still maintain some︀ kind of connection to germany,
just my bank account doesn't qualify for that, but other︁ things like me visiting my family might.
Either way since I don't want to roll︂ the dice on a judges decision, I want to change my status soon and this︃ is why I am here.
Thanks, thats very helpful.

What is the deal︆ with Dubai, what has the experience been with that for people on this forum?

 

[KDX]

UAE (incl. Dubai) has no tax except VAT and an upcoming 9% CIT for mainland︂ (non-free zone) companies. Very easy to get a visa there under $10K. Plus if you︃ are a "digital nomad" then you can easily get your tax residency there and just︄ make sure to avoid becoming tax resident anywhere else.

 

[CaptK]

Dubai is the easiest and if you are nomad then a great place for a︂ base due to the flight connections.

If you structure it well for the first 6︃ months and actually try and spend enough time in Dubai for that period of time︄ you can gain personal tax certificate.

Once you do that then you are home and︅ dry. I would move what you have in Germany into savings and pay your UAE︆ company that money. Then pay yourself a salary that will tick all the boxes for︇ the German Authorities.

 

[ExpatsGlobal]

It is not a grey area,︇ the rules in § 2 AStG and § 34d EStG are pretty clear here. Unfortunately,︈ a mere residence in Dubai equals being a PT in that respect. To make sure︉ that you get out of the scope of the German tax law, you must make︊ sure that your income is regarded as foreign income.

You have basically three choices:
- Keeping it as it is for two more years, until you completed the 10 years︋ abroad (and are out of the scope), and then hope that nobody asks whether your︌ income is regarded as foreign income under § 34d EStG.
- Abolishing the "relevant economic︍ interests" in Germany, in particular the German bank account.
- Setting up a place of︎ business abroad, through which you earn your income.

I made a video on the topic️ which you might find helpful (in German): Link

 

[cyprus123]

in my personal opinion Cyprus with the Non Dom and 60 day rules is the‌ best option as you get it for 17 years and it is proven concept. Many‍ Germany are relocating to Cyprus these days.

 

[jafo]

Did you ever find a solution to this? I'm very interested.