Let's start dreaming....
Imagine you win a lot of money. Let's say 50 million €/$. You live in Germany or any country where lottery/gambling profits are not taxed and you are an EU citizen.
What would you do to keep the burden of tax as low as possible?
I have some options in my mind. If you like to join the discussion, feel free!
Presumed I do not start any business because I am not interested in it.
I would try to live off dividends and capital gains, perhaps rental income and enjoy my life for the next years, and I would consult independent wealth management banks in Switzerland to see what they may offer me. Of course, cut all ties to Germany.
Would you move out of the EU to a tax paradise or somewhere else where you easily can claim your tax residency?
UAE: you can get an investor visa for 5 or 10 years. Keep numbers simple, invest around AED 5-10 Mio ( USD 1,25 - 2,5 Mio). You can open a bank account and live there. To claim tax residency, you'll need to stay a minimum of 183 days. It might be you need it only once.
Cayman: buy your tax residency by investing $1,2 Mio, minimum stay 30 days per year. Be there for a short amount of time per year, enjoy the weather and proximity to US / South America. Leave the island during the hurricane season. (Jul - Nov).
There a lot more options like the Bahamas (crime is higher than in Cayman).
I could imagine having my residency as a non-dom in the UK for a few years as I may use their tax remittance system which entitles you to use your clean capital tax-free. Capital gains and dividends stay offshore and would be never brought to the UK. Having a postal address in the UK does not raise eyebrows, Cayman could...
Probably, I would set up a trust or other vehicle to keep my assets protected.
What would you do?
Imagine you win a lot of money. Let's say 50 million €/$. You live in Germany or any country where lottery/gambling profits are not taxed and you are an EU citizen.
What would you do to keep the burden of tax as low as possible?
I have some options in my mind. If you like to join the discussion, feel free!
Presumed I do not start any business because I am not interested in it.
I would try to live off dividends and capital gains, perhaps rental income and enjoy my life for the next years, and I would consult independent wealth management banks in Switzerland to see what they may offer me. Of course, cut all ties to Germany.
Would you move out of the EU to a tax paradise or somewhere else where you easily can claim your tax residency?
UAE: you can get an investor visa for 5 or 10 years. Keep numbers simple, invest around AED 5-10 Mio ( USD 1,25 - 2,5 Mio). You can open a bank account and live there. To claim tax residency, you'll need to stay a minimum of 183 days. It might be you need it only once.
Cayman: buy your tax residency by investing $1,2 Mio, minimum stay 30 days per year. Be there for a short amount of time per year, enjoy the weather and proximity to US / South America. Leave the island during the hurricane season. (Jul - Nov).
There a lot more options like the Bahamas (crime is higher than in Cayman).
I could imagine having my residency as a non-dom in the UK for a few years as I may use their tax remittance system which entitles you to use your clean capital tax-free. Capital gains and dividends stay offshore and would be never brought to the UK. Having a postal address in the UK does not raise eyebrows, Cayman could...
Probably, I would set up a trust or other vehicle to keep my assets protected.
What would you do?
